The 30 Year T-Bond futures are trading sharply lower after both U.S. Durable Goods Orders and New Home Sales beat analyst expectations.  The upbeat data is pointing towards a contrasting breakout in the S&P futures as treasuries and equities exercise their negative correlation.  If the S&P futures do manage to shoot above our 3rd tier downtrend line we could witness a corresponding retest of March lows by the 30 Year T-Bond futures.  Any movement beneath these lows could result in an intense selloff. 

Therefore, the uptrend of the 30 Year futures is holding on for dear life even though the downtrend staked its claim long ago.  Our 2nd and 3rd tier downtrend lines are fading into the distance while the possibility actually reaching our 1st tier suddenly doesn’t seem out of the question.  We would be surprised to see a pickup in volume as markets close out the week on upbeat data, not good news to those long the 30 Year futures.  We maintain our negative stance due to the aforementioned reasons. 

Fundamentally, we find supports of 124.36, 124.03, 123.69, and 123.34.  To the topside, we see resistances of 124.78, 125.19, 125.53, 125.81, and 126.20.  The 30 Year futures are presently trading at 124 13.0.

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