The has rallied strongly for 4 weeks. The bulls are trying to reach the February close to erase the entire March selloff. The rally has a wedge shape, which means it is a buy climax. But traders will buy the 1st 2 – 4 week pullback.
The are at the apex of a triangle on the daily chart. There probably will be a test of the November low within a few months. This is true even if the bonds break above the triangle and test the March high 1st.
The chart is at the apex of a diamond pattern. It will probably break out within a few weeks. There is a 50% chance of the breakout being up or down.
30 year Treasury bond Futures market:
Trading range for remainder of the year
The 30 year Treasury bond futures daily chart has been in a tight range for the past 4 weeks. This follows the most extreme buy climax in history.
When there is an extreme buy climax, the bulls take profits. That does not mean that the bears take control,…