Oct 102012

CL 12 12 (1 Min) 10.10.12

10/10/2012 30-yr Bond Auction (0701 HI time / 1301 EDT)
Previous: 2.90/2.7
Actual: 2.90/2.5
Started @ 148’21 (0701)
1st Peak @ 148’09 – 0706 (5 min)
13 ticks

Reversal to 149’08 – 0743 (42 min)
31 ticks

Notes: Report is scheduled on Forex Factory at the top of the hour, but the spike always breaks 1 min late. The highest yield was the same as the previous auction, continuing the rise off of the low in July. The bid to cover ratio was slightly lower meaning less bids were made than last month. With JOBB you would fill short at 148’17 just below the 100 SMA. I set my buy limit just below the 200 SMA and PP Pivot at 148’11, which filled as it bottomed out at 148’09 on the :06 bar. With the small deviation from the previous result, I did not expect much of a short move. Then the reversal yielded a strong 31 ticks in 37 min, rebounding through all 3 major SMAs and peaking at the R1 Pivot.