US Long Bonds

The dark glove's increased long positions, marked on double inverse TBT chart below, hits the price rally like brick wall. This is standard operating procedure (SOP) for many of today's markets. Despite this setback, 1/12 overhead gap was filled on increasing volume. This is a sign that the upside force is increasing and suggests that the overhead resistance will be counter-attacked once the selling ebbs.

As long as upside energy continues to increase, the dark glove has two options in the bond market. Either lay down more paper to protect critical support (neckline of large head and shoulders formation), increase the number of cannons on the battlefield, or execute a defensive retreat to fight at a lower price.

These options sounds quite familiar to those that follow the money flows in the gold market. As it should. The bond, dollar, gold markets are intertwined.

US Long Bonds Double Inverse ETF (TBT)