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(H3)‌‌ Outlook Firms as Key Resistance Gives Way

US 10YR FUTURE TECHS
  • RES 4: 116-21+ 2.0% 10-dma env
  • RES 3: 116-02 200-dma
  • RES 2: 116-00 Round number resistance
  • RES 1: 115-28 High Jan 18
  • PRICE: 115-23 @ 16:26 GMT Jan 18
  • SUP 1: 113-29/18+ 20- and 50-day EMA values
  • SUP 2: 112-18+/111-28 Low Jan 5 / Low Dec 30 and the bear trigger
  • SUP 3: 111-27+ 61.8% retracement of the Nov 3 - Dec 13 rally
  • SUP 4: 111-01 76.4% retracement of the Nov 3 - Dec 13 rally

Treasury futures maintain a bullish tone and the recent pullback is considered corrective. Price has now solidly breached resistance at 115-11+, the Dec 13 high, to put prices at their best level since September. The clear breach of this hurdle as well as 115-26 Fibonacci projection, strengthens bullish conditions and opens the 200-dma of 116-02. On the downside, initial support lies at 113-29, the 20-day EMA.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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