HALISTER1: Technicals Signal UST Rally Will Continue, BofA Says

Technicals Signal UST Rally Will Continue, BofA Says

(Bloomberg) -- In UST futures, FV and TY contracts broke resistance this week, “forming technical bottoms,” and cash 5Y yield formed top, suggesting it has scope to 1.50%, BofA technical strategist Paul Ciana says in note.
  • FV and TY contracts traded above levels that had contained them since late November
  • 5Y yield’s close below 1.84% on Feb. 8 “broke the neckline of the top pattern,” suggesting it will decline to at least 1.71%, more likely 1.65%, with possible scope to 1.50%
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Paul Ciana (Bank of America Corp)

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