Short Term Trading Member Forum

[techcharter]

10 yr Treasuries:

Both the yield and price charts for 10 yr treasuries indicate extreme overbought conditions on the stochastics. This condition has lasted for 3 trading weeks now. On the price chart stochastics you can see a 5 wave rally sequence from April '04

On the yield chart you can see the 200 DMA supporting the yield. Being so close to the 200 DMA the yield may make one last effort to test it. It the yield fails to touch the 200 DMA, then the underying bullish trend in yields (bearish trend in price) is very strong.


http://charts.barchart.com/chart.asp?sym=TYU4&data=A&date=071804&den=MEDHI&evnt=off&...


http://stockcharts.com/def/servlet/SC.web?c=$tnx,uu[w,a]daclyyay[dc][pb50!b200][vc60][iLp14,3,3!La12...


Judging by the eroding price in GS LEH MWD JPM, I would say there is a financial meltdown in the works.