It's very easy to fall into the trap of allowing gains or losses to dictate one's market sentiment on any given day. For instance, am I more likely to offer a cautionary view on the broader range simply because bonds lost ground today?  I know my gut reaction is "yes."  But as long as we're aware that we're allowing the red on the screen to taint our mood, we can then proceed to dissect things more objectively.  This is one of the reasons for technicals and trends. Like we say "trend is your friend until it's not."

From an objective standpoint, we can observe, of course, that the rally trend was aggressively tested by today's weakness (as discussed in this video).  But on an even simpler note, this is the first time in the past week that we've seen yields do something like this (longest we've gone without making new lows during domestic hours): 

From a strict trend-following standpoint, it was only in the last hour of the day that yields crept up an out of the channel.

Notice that they'd also crept lower out of the channel on the 25th, but that didn't alter the slope of the trend.  A singular breakout requires confirmation from tomorrow's trading.  If yields continue trading above the upper yellow line, it will be a stronger suggestion that the rally--this leg of it anyway--has ended.  

PLEASE keep in mind that we're only talking about short-term trends viewed under microscopes!  In the bigger picture, 10yr yields are at 2.39% today.  That's quite something considering we were watching 2.55% as a floor a few weeks ago.  We'd have to move quickly back up to those levels before getting worries about bigger-picture implications.