US 10yr Yields Eyeing 5%?

há 3 dias

Chart Analysis:

The 10-Year US Treasury Yield continues to climb within a well-defined ascending channel, highlighting robust bullish momentum in recent months.

1️⃣ Ascending Channel:

Yields are trading near the upper boundary of the ascending channel (green-shaded area), reflecting sustained upward pressure.
Traders should monitor reactions at this boundary for potential breakout attempts or a pullback toward the channel’s midline.

2️⃣ Key Resistance Levels:

4.80%: Immediate resistance level, capping recent gains.
5.02%: A critical horizontal resistance zone, representing a multi-year high and potential target on continued strength.

3️⃣ Moving Averages:

50-day SMA (blue): Trending upward at 4.33%, providing dynamic support.
200-day SMA (red): Rising at 4.24%, reinforcing the broader bullish trend.

4️⃣ Momentum Indicators:

RSI: At 75.68, signaling overbought conditions, which may precede a consolidation or corrective pullback.
MACD: Bullish momentum remains strong, with the MACD line above the signal line and in positive territory.
What to Watch:

Sustained breaks above 4.80% could pave the way for a test of 5.02%, with potential for further upside if this resistance fails.

Any pullback may find support near the 50-day SMA or the ascending channel’s lower boundary.
RSI overbought conditions suggest vigilance for potential divergences or reversal signals.

The 10-Year Yield’s bullish structure remains intact, supported by rising moving averages and upward momentum. However, caution is warranted as yields approach critical resistance levels.

-MW