Shorting Treasuries - Market Analysis for Jul 22nd, 2009

The bond, TLT, TBT charts and technicals are urging me to get short the long end of the yield curve...looking for longer term rates to climb in the days ahead.  My near-term work in the ProShares UltraShort 20+ Year T-Bond ETF (NYSE: TBT) argues that the upmove off of the July lows at 48.01/05 exhibits very bullish form, in the aftermath of the completion of a major correction from the 6/10 high at 59.97 into the July lows.  Based on my analysis, the pullback since Monday’s high at 54.19 into today’s pre-market low at 50.74 appears to me to represent a significant buy-window ahead of the next upleg that projects above 54.19 to 57.00.