10 year yield jumped to as high as 2.990 during regular trading hour overnight but struggled to extend further higher. TNX then closed at 2.973, up 0.22, but below open at 2.975. The development showed some hesitation ahead of key 3.000 level. It looks like the market might have to take a bit more time to digest the sharp move since last week.
But for now, there is no change in the near term up trend. And we’d expect a test the real key resistance zone soon. That is, 2014 high at 3.036 and 100% projection of 1.336 to 2.621 from 2.034 at 3.318. This is the key area that will define the long term trend.