Bonds formed a swing high on Monday. They delivered bearish follow through on Tuesday by closing below the daily cycle trend line to confirm the daily cycle decline.
Tuesday was day 13 for the daily bond cycle. That places bonds 5 days shy of its timing band for a daily cycle low. So while a peak on day 11 starts to shift the odds towards a right translated daily cycle formation, I believe that there something more sinister is afoot. I suspect that bonds are beginning to feel the gravitational pull of a larger degree correction.
The long term weekly charts shows a multi-year resistance zone at the 128-129 level. And this week bonds are being rejected by the multi-year resistance zone. So this is setting up to be a longer bearish move. Which I plan to cover in Wednesday's Mid-Week Update