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Yesterday the Power of the Pattern suggested bond prices could get slammed due to a bearish “Head & Shoulders topping” pattern that looked to be at hand. (see post here)
Today bond prices have fallen enough and rates have risen enough to test both of their necklines.
If bond prices break below their neckline, they could get hit VERY HARD and yields could rally quiet a bit! Ideal position on a neckline break….TBF.
At this time the necklines are support for bonds and resistance for yields!