So the 10 year yield has run hard on interest rate hike expectations.
However, as can be seen from the chart, the yield is currently about 93% above its 50 month moving average, the highest it has ever been...by far.
Using the TD indicator one can also see that the yields are potentially topping this month.
As can be seen from the Stochastic and RSI below, both are at major tops.
The yields and DXY priced in a more hawkish FED the last couple of days since we got the higher than expected CPI reading on 10 June.
Chances are that the FED will not be able to continue with higher interest rate hikes as this will crash the market.
So, the yields and DXY might have been running based on expectations but might revert quite a bit on actual release of FED interest rate decisions tomorrow.
However, as can be seen from the chart, the yield is currently about 93% above its 50 month moving average, the highest it has ever been...by far.
Using the TD indicator one can also see that the yields are potentially topping this month.
As can be seen from the Stochastic and RSI below, both are at major tops.
The yields and DXY priced in a more hawkish FED the last couple of days since we got the higher than expected CPI reading on 10 June.
Chances are that the FED will not be able to continue with higher interest rate hikes as this will crash the market.
So, the yields and DXY might have been running based on expectations but might revert quite a bit on actual release of FED interest rate decisions tomorrow.