Bonds and Notes

As you can see from the hourly charts above this post both the bond and the 10 year note futures have accelerated downward from a top lower than the one established on June 3. This tells me that both markets will probably make new lows for the reaction before heading up above their June 3 high points.

I've updated the box estimates in these charts and drawn the boxes for the downtrend which started from 119-11 in the September bonds and from 114-00 in the September 10 year notes.

I think it likely that both markets drop to the bottom of the third box in the trend. This would make the low of the reaction near 115-04 in the bonds and near 111-12 in the notes.