| Posted On: March 31, 2017 09:29 PM |
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A Supercycle degree double zigzag from the September 1981 major low appears to have completed with a Cycle degree ending diagonal wave c from the 104^16 low of June 2007. It's interesting to note, though, that there has been an important bottom associated with the nominal topping period of the displayed 77-month cycle, which actually seems to split in half and produce a half-cycle low instead of a top at its mid-point. That may be the case here, as well, with a wave (2) rally on tap from the March low.
Below are two monthly charts of the yield index of the 30-year bond. With the drop to a new all-time low at 22.01 (2.201 %), both show a possible completed wave count for a lasting bottom from which an initial rally may be complete.
Finally, at the bottom of the page is a monthly chart of the TLT ETF. Last year's July high also appears to be a major top as the completion of a Cycle degree ending diagonal wave c from the June 2007 low. -- Peter DeSario
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