This is a game changing chart. It covers approximately 5 years and clearly shows that the long term uptrend in the Bonds is broken and over the past 2 years we have developed substantial counts for a long down move. 12x3 across the 102 line gives 66 and 10x3 at 94 gives 64. There is of course the possibility of re accumulation across 89 but I do not believe at the present time that looks likely.
We are now at the stage of sovereign defaults and the question is who is next. Last week the yield on 10 year Treasuries surpassed the
Libor rate for a Black Swan event. I was taught that was impossible. The Long Bond above has continued to hug its lows and has a substantial count of 14 across the 94 line and 7 across the 90 line.
Gold looks like it has re accumulated with a count of 22 across the 107 line. Any upward move with ease of movement and volume would confirm the move is under way.
Finally with the shortening of the thrust the move in our friend the British Pound might be ending. Just as the yield on Treasuries is higher than the dollar 10 year
Libor rate, the yield on 10 year Gilts is higher than 10 year Pound
Libor as well. Although I will not discuss it here, please look at the Yen which also is making a substantial top.
This is a game changing chart. It covers approximately 5 years and clearly shows that the long term uptrend in the Bonds is broken and over the past 2 years we have developed substantial counts for a long down move. 12x3 across the 102 line gives 66 and 10x3 at 94 gives 64. There is of course the possibility of re accumulation across 89 but I do not believe at the present time that looks likely.
We are now at the stage of sovereign defaults and the question is who is next. Last week the yield on 10 year Treasuries surpassed the Libor rate for a Black Swan event. I was taught that was impossible. The Long Bond above has continued to hug its lows and has a substantial count of 14 across the 94 line and 7 across the 90 line.
Gold looks like it has re accumulated with a count of 22 across the 107 line. Any upward move with ease of movement and volume would confirm the move is under way.
Finally with the shortening of the thrust the move in our friend the British Pound might be ending. Just as the yield on Treasuries is higher than the dollar 10 year Libor rate, the yield on 10 year Gilts is higher than 10 year Pound Libor as well. Although I will not discuss it here, please look at the Yen which also is making a substantial top.
