What We're Reading

I'm not saying that we're there. I wouldn't be surprised to see a wage five higher into 2016 before a bear market steps in but "signs" such as shown here are good to learn (and prepare).

From an old 2014 newsletter from Variant Pereceptions

Omega Advisors Founder, CEO and Chairman Leon Cooperman discusses his outlook for the markets.  Of course he was short on time so we have no idea if he's short bonds but that would be my guess.   Hat tip Sadiq for this interview.

I'd be trading this bad boy to the long side.  In this seven year weekly chart, not only has it broken my three trend line rule, there was positive MACD convergence (as shorts began to massively cover) and the 200week SMA which was prior resistance, has now become support. 

It certainly appears that the "low" in low rates was in in 2013.

I should also note that the monthly chart is deeply oversold.  At some point, you simply run out of sellers.

I've long said that when in mortgage banking, we watched the 10yr. each week for direction of rates and we completely ignored the Fed raising or lowering rates.  They were a laggard; the 10yr was already there.

Yep.  If this were a stock, I'd be trading it long, buying at support or out of the short side completely.  Maybe not expecting anything spectacular in terms of upside but ROC would indicate no heavy selling; short covering more than anything else. 

I believe we've entered the phase in our bull market where "good news" is now bad new