More Change?

There are no economic reports out today, and you can see from these mortgage pricing graphs that the year-long upward trend is reversing and the last ten days have put us on a downward trend.  Remember that lower price equals higher interest rate offerings.  The pricing is not yet down to the pre-Brexit levels (that’s the big bump in June that sent pricing markedly higher), but the selloff at the opening bell today pushes prices under the 100-Day Moving Average represented by the yellow line on both graphs.  As you can see from the long-term view, the 100-Day MA usually forms a formidable line of resistance that’s difficult to cross, and once over convincingly, the pricing tends to stay put for some time.