10-year yield open lower today and extends recent down trend to as low as 1.975 so far. With key support zone around 2.0 psychological level taken out rather decisively, further decline should now be seen to 100% projection of 3.248 to 2.356 from 2.614 at 1.722. This will remains the favored case as long as 2.174 resistance holds.
More importantly, from long term perspective, 55 month EMA is also firmly taken out. The three wave consolidation pattern from 1.394 could have completed at 3.248 after hitting decade long trend line resistance. If such interpretation is correct, we might seen 10-year yield falling back to 1.336 low.
