Some attributed the selloff in stocks and bonds yesterday afternoon to a weak Treasury auction. Despite this, the futures are bullishly impulsive on the weekly chart (see inset), and it wouldn’t take much to set-up a camouflage buying opportunity. Using the shortest A-B interval available, I’ve sketched out a hypothetical scenario that would lend itself to the task of getting aboard with relatively little risk. If and when a follow-through leg is generated, you should look for your entry spot by zooming down to the one-minute chart just before the buy signal is tripped on the ‘weekly’. _______ UPDATE (May 15): Business-page headlines last week bore seemingly ominous news: “Bond Prices Tumble on Weak Auction’. My bullish forecast at the time went sharply against the grain, but it has since been borne out by the strong rally that followed. Did you catch a ride? Please let me know in the chat room and I’ll establish a tracking position for your further guidance.
