Mr. Draghi and since his speech more of his colleagues at ECB has promised they will continue QE until Sept/2016, what's more now we have some hints maybe even longer if needed!
Meanwhile China and whole EM world has started to export DEFLATION to the rest of the world, so it looks like rates and yields are not in danger, at elast for some more time they will not blow up. Probably clueless investors and robbed savers will do the same mistakes again, they will go further out on the curves, take riskier bonds, and build more leverage on long side to be able to produce some visible yield.
All these can be supportive for the 10y German Bund too.
Weekly:
- Ichimoku setup is neutral with some increasing bullish bias: Price is in the thick Kumo, but seems to be able to move back above Kijun Sen (9 weeks average) and above future Senkou B line (52 weeks average) again. These lines, which not just stay appr. together, but have been flat for a while represent the longer term equilibrium price level.
- Heikin Ashi signal turns bullish: green candle, haDelta/SMA3 bullish cross above zero line.
Daily:
- After 100 WMA and brief Kumo retest Pice started to climb again, and trades a bit above Kijun Sen by now. Momentum is not very strong, but the picture is bullish.
- Heikin Ashi tells the same story. Bullish picture, with a bit lower momentum.
Looking at this "ballanced, low momentum" bullish move, I have to ask if it is a signal of decreasing bearish sentiment on global equity markets? I mean this time Bund doesn't act like when it trades as a safe haven during equity selloffs.
Anyway, all instruments have to be treated as separate individuals. Don't try to trade something based on other assets price action or behavior!
Meanwhile China and whole EM world has started to export DEFLATION to the rest of the world, so it looks like rates and yields are not in danger, at elast for some more time they will not blow up. Probably clueless investors and robbed savers will do the same mistakes again, they will go further out on the curves, take riskier bonds, and build more leverage on long side to be able to produce some visible yield.
All these can be supportive for the 10y German Bund too.
Weekly:
- Ichimoku setup is neutral with some increasing bullish bias: Price is in the thick Kumo, but seems to be able to move back above Kijun Sen (9 weeks average) and above future Senkou B line (52 weeks average) again. These lines, which not just stay appr. together, but have been flat for a while represent the longer term equilibrium price level.
- Heikin Ashi signal turns bullish: green candle, haDelta/SMA3 bullish cross above zero line.
Daily:
- After 100 WMA and brief Kumo retest Pice started to climb again, and trades a bit above Kijun Sen by now. Momentum is not very strong, but the picture is bullish.
- Heikin Ashi tells the same story. Bullish picture, with a bit lower momentum.
Looking at this "ballanced, low momentum" bullish move, I have to ask if it is a signal of decreasing bearish sentiment on global equity markets? I mean this time Bund doesn't act like when it trades as a safe haven during equity selloffs.
Anyway, all instruments have to be treated as separate individuals. Don't try to trade something based on other assets price action or behavior!
