The fledgling rally looks promising — somewhat moreso than the corresponding rally in TLT, our favored vehicle for trading the long bond. Minor upthrusts have been clearing external peaks, which is as it should be in a healthy rally. Now, as you can see, the futures have tripped a buy signal for a presumptive ride to 163^09, the midpoint resistance. If the futures can blow past it today, that would make a follow-through to the 164^30 target an odds-on bet. ______ UPDATE (10:08 p.m. EST): Another setback, although it left the promise of Tuesday’s sharp rally intact. If the futures rally overnight, exceeding 163^00, a finishing stroke to 164^22 would become an odds-on bet.
