Good Monday AM,
The 10-yr is at 1.13%, mortgage bonds on sale again, and stocks are in the red. At some point, no one likes the thought of $3Trillion in stimulus flooding the economy.
Technical analysis today, but I’m not sure what else to share since this is a technical pattern. In essence, bonds continue to search for a bottom and there is no clear indication where that point may be. We do have a number of reliable indicators that will help determine bottom, but none of them are green at this point. Until you see the MBS break above the downward channel, you should play it safe and keep everything locked. We will get a big bounce of somewhere between 23.6% to 38.2%. These are Fibonacci retracement numbers and they work like magic. The percentage numbers I just shared do not start until a bottom is in place. There is no news today, but this is a big news week and hopefully something will snap us out of this selling!
The PGA of America has stripped the 2022 PGA Championship from Mr. Trump’s New Jersey golf course.
Please remain safe and healthy, make today great!