Posted To: MBS Commentary
Bonds haven’t been moving directionally in the big picture Unless that direction is “sideways” Let’s take a step back and observe “the triangle” We’ve been following the same, normal, mostly useful bond market technicals for quite some time, and while they have been useful in a shorter-term, tactical sense, it’s good to take a step back from time to time and consider the bigger picture. That’s particularly true of times like this when all of the short-term trading has been taking place in the same, narrow range. In other words, the only momentum we’ve been able to witness has been on a small scale, in its own little world for most of 2016. But beyond that world, there are other places to explore–some we have seen before, and others we can only imagine…(read more )