Bonds Are Ready For Further Recovery

Bonds faced a massive sell-off in 2022, but looks like they are now trying to form a temporary support, so be aware of a recovery in 2023, at least in the first half.

Looking at the US treasury bond TLT, it has already found the support back in October 2022. And, due to impulsive recovery into first leg (A)/(1) followed by recent slow corrective pullback in (B)/(2), seems like it’s now getting ready for a new five-wave bullish impulse within higher degree (C)/(3) that can push the price at least up to 120 area.

(Click on image to enlarge)


At the same time German BUND bounced sharply after a completed wedge pattern within wave 5, so we can now expect a minimum three-wave (A)-(B)-(C) recovery, which can send the price at least back to 143 resistance area after current wave (B) pullback.

(Click on image to enlarge)


 All that being said, seems like bonds are ready for further recovery, so be aware of at least temporary rally in the first half of 2023.

More By This Author:

USDNOK Is In Free Fall
Fed Minutes And US CPI Data Sends EUR/USD Higher
Altcoin Season Knocking On The Door

Disclosure: Please be informed that information we provide is NOT a trading recommendation or investment advice. All of our work is for educational purposes only. Visit for more ...

How did you like this article? Let us know so we can better customize your reading experience.


Leave a comment to automatically be entered into our contest to win a free Echo Show.
Seeking Alpha Reader 1 year ago Member's comment

I think bonds are toxic right now. Time to dump em!