Bonds Begin Final Daily Cycle Decline

ANALYSIS | 05/15/2018 04:51:40 GMT

Bonds have made multiple attempts to regain the 50 day MA since emerging from its 44 day DCL. Bonds were rejected by the 50 day MA on Monday beginning its final daily cycle decline.

Monday was day 13 for the daily bond cycle and bonds formed a swing high. They also closed below the 10 day MA which caused the 10 DMA to turn lower to signal that bonds have begun its final daily cycle decline. Bonds have already established that they are in a daily downtrend. The formation of a daily swing high below the upper daily cycle band indicates a continuation of the daily downtrend. The intermediate bond cycle, which is discussed in the Weekend Report, is forming as a left translated weekly cycle. That aligns with bonds being in a daily downtrend and delivers an expectation for the current daily cycle to fail, therefore continuing the intermediate bond decline.

Share: Analysis feed

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.