US 10 year yield rebounds. What next?

<p>Yesterday US 10 year yield moved down 19.1 basis points. Today there is a rebound with the yield now up around 9.8 basis points at 4.543%. </p><p>Technically, the fall yesterday took the yield below a swing level at 4.484% on its way to the low of 4.434%. Looking at the daily chart, the next major target area is at:</p><ul><li>Swing area between 4.326% to 4.362%,</li><li>100 day MA at 4.331% (blue line on chart above)</li><li>38.2% retracement at 4.346%</li></ul><p>That target area was not approached with today's low coming in at 4.428%, but remains a key target on more downside momentum. </p><p>The corrective move higher today has now taken the price back above the swing level near 4.484% and has moved to a high of 4.559%. Looking at the hourly chart, that has taken the yield toward the falling 100 and 200 hour MAs at 4.577% and 4.584%. If the bias lower is to continue, I want to see those MAs stall the uptick. Do so, and a resumption of the move lower can resume. </p>

This article was written by Greg Michalowski at www.forexlive.com.