Panic is sweeping through the bond market, but according to one top technician's chart work, the selling may soon abate.
"We can all agree there will be time for higher rates," Evercore ISI's Richard Ross said. "But [this week's] textbook reversals in the [U.S.] 10-year at 2.4 percent strongly suggest that the time for higher rates is not now."
Ross sees the 10-year yields as having made a base of support over the past eight months. He maintains that yields hit critical upside resistance around the 2.4 percent level on Wednesday.
"We think rates [will] go lower and should retest 2.07 on the 10-year," said Ross. That would correspond to the technically significant 150-day moving average.