January 3, 2017 | Is the Surge in Long-Term Rates Over?

It’s been a while since I’ve updated my forecast for a rise in long-term Treasury rates to 3.409%, a benchmark that sits well above the current rate of around 3.047%. Although the target is still in play (see TYX tout and chart at bottom), I am not suggesting buying the pullback at these levels because there’s technical evidence the correction begun three weeks ago from 3.197% has farther to go. Moreover, if the decline were to exceed 3.025% to the downside, that would turn the daily chart impulsively bearish, adding to the evidence that long-term rates have seen their highs, possibly for a long while.
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Rick Ackerman January 3rd, 2017
Posted In: Rick's Picks
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