TNX in Cup & Handle - Breaking out - Bullish
Updated
The TNX looks like it's been in a huge cup and handle pattern since early 2020. It also looks like the handle is breaking out and if the pattern plays out, we could see the TNX all the way up to 3%. That could put pressure on the precious metals, real estate, and the stock market. I think the Fed would have to intervene if we saw rates go that high.
Trade closed: target reached
Target reached. If this thing continues higher, Fed is going to have to step in. This is making the bond market, stock market, gold, and bitcoin to correct. The Fed might try to fight inflation, but if markets keep heading in the direction they are, the Fed will have to resume buying securities and lower interest rates.
The TNX going higher is going to kill the real estate market.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.