Some have written off T-Bonds and see a bear market in its larval stage. (Bear larva? Now there’s an atrociously mixed metaphor.)  We’d feel the same way if we were to reflect for even a moment upon all of the good reasons this should be so. But the technical evidence comes first — always! — and it is saying, “Not so fast, you bears.”  Notice in the accompanying chart how the crystal-clear ABCD downtrend failed by a significant margin to reach its target. To be sure, the failure will not become official until such time as the bounce exceeds point ‘C’ at 133^12. However, on the basis of the moderately robust bounce so far, it is reasonable to infer that the downtrend has failed. That would be bullish if true, and it would portend new recovery highs above 135. We will await further evidence to clarify a speculatively bullish picture, but that’s what it is.