Let's update the previous graph with a another hour or so of price data:

This is one of the most stable and directional days we've seen (and probably will see) in quite some time.

As I watch rate improvements comes across, it's apparent that lenders are being stingy with passing on the gains today.  If this rally continues all the way through "lights out" (remember, the official close is 3pm, whereas "going out" or 'lights out' is 5pm), floating into tomorrow could still be a good thing.  We'll have to reassess then.  But if you're faced with a decision now, be wary of a down day tomorrow to retrace some of the mutual gains in both treasuries and MBS.  Then again, give that retracement a few more days and we may recapture it.

Tomorrow is HUGE as more details of the MBS buy-up will be released.  The sooner, the better, and the more floaty.  If you can tolerate the risk, it may be worth it to wait until tomorrow, and we can gird up for a long overdue epic battle!