Long 30-Y Treasuries Futures $ZB on Pull BackIn a deflationary environment, yields will continue to fall and bond prices will rise. In many countries, we are seeing structural deflationary pressures that can't seemed to be fixed by adding money supply.
This trade setup looks to buy a pull-back to the P-Pivot level, which also coincides with the up-trending blue slope
As of 13 Jan 2015, price has broken through 148'00 to form the beginnings of an AB=CD pattern.
Using the AB=CD pattern to project key levels, the target set for Profit Target One is at the .618 extension level, right before the All Time High dating back to years ago.
Profit Target Two is set at the full AB=CD extension.
Stop Loss is set to below point B of the AB=CD extension and below the previous weekly low.
Entry: 149'05
Stop loss: 147'05
Profit Target One: 152'25
Profit Target Two: 160'17