Well, today sucked out loud for the bears. Lifetime highs on the NASDAQ as well as the Russell 2000, all in the midst of the Greek nonsense which is persistently at the cusp of blowing up, but never does. One wonders what the market would do if an honest-to-God deal actually was announced, as opposed to simply rumor after rumor after rumor.
In spite of this, there are still a lot of interesting charts from a technical analysis basis. I thought I’d share three.
The first is $TNX, which is the 10-year note interest rate. This one has been fascinating, because it was suppressed by its resistance trendline (shown below in blue) for many, many months until it broke out on June 3rd. Today is did precisely what it was supposed to do: fall, but not break beneath, the exact same trendline, confirming the line’s new role as support instead of resistance. Assuming this line continues to hold, I think an interest rate rally is in the cards.