US 10-year treasury yield hits 4-year high, eyes break above 3 percent
|- US 10-year treasury yield rises to 2.98 percent in Asia.
- Could rise above 3 percent, the technical chart indicates.
The yield on the benchmark US 10-year treasury yield is trading at 2.98 percent in Asia - up two basis points and highest since March 2014.
The daily chart shows a bull flag breakout - a bullish continuation pattern, meaning the rally from the June 2017 low of 2.314 percent has resumed. So, yield could go as high as 3.56 percent. (Target as per the measured height method).
The bullish pattern adds credence to the long-term bullish reversal (bearish reversal in bond prices) as indicated by the inverse head-and-shoulders breakout seen on the weekly chart.
So, a move above 3 percent looks like a done deal and could help USD gain ground across the board.
Daily chart
Weekly chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.