Yields are rebounding and with it goes the USD (and stocks)

Technical Analysis

The 10-year yield has moved back to the upside with the yield back above 4.0% and up to 4.05%. The high reached 4.10% soon after the jobs report, and then fell sharply to 3.955% at session lows, before starting it’s move back to the upside. Below 4% being rejected.

Now with the yield moving back above 4.00%, the rise is leading to putting the other markets in motion as well

  • Stock indices have now all moved into negative territory
  • USD has moved higher.
    • The EURUSD is back below the 100-hour MA and is testing the 50% of the December trading range at 1.0931.
  • The USDJPY is looking to test the Dec 19 high at 144.938 (trading at 144.88).
  • The GBPUSD which raced above the 200-hour MA at 1.27075, and up to a high of 1.2770 is back down retesting the 200-hour MA.

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