China 10 Year Yields: Key support reached

18 APR 2018

The long-term uptrend is under great strains now that the key support at 3.44% has been reached. Tis area must hold to avoid a further deterioration back to levels as low as 3.248% and beyond. Eyeball the 3.447% area closely. Some overshooting is allowed, but not too much.

  • Near term trend: negative
  • Long term trend: positive
  • Outlook: deep counter trend phase, moderately positive longer term
  • Strategy: hold-long
  • Support: 3.447% / 3.248%
  • Resistance: 3.877% / 4.11%
  • Outlook cancelled/neutralized below 3.447%

Daily China Government 10 Year Bond Yields (generic)

18 APR 2018

The current declines are fierce but still occur within the longer term uptrend. The market does not have too much leeway though; yields should base out around 3.44% over the next days in order to keep the longer term trend intact. Failing to do so turns the outlook to neutral and highly uncertain.

Eyeball the 3.447% area closely. Some overshooting is allowed, but not too much.

  • Near term trend: negative
  • Long term trend: positive
  • Outlook: deep counter trend phase, moderately positive longer term
  • Strategy: hold-long
  • Support: 3.447% / 3.248%
  • Resistance: 3.877% / 4.11%
  • Outlook cancelled/neutralized below 3.447%

Daily China Government 10 Year Bond Yields (generic)