(H4) Recent Pullback Considered Corrective

• RES 4: 114-06+ 2.00 proj of the Oct 19 - Nov 3 - Nov 13 price swing
• RES 3: 114-00 Round number resistance
• RES 2: 113-12 High Dec 27 and the bull trigger
• RES 1: 112-19 High Jan 4
• PRICE: 111-28+ @ 16:51 GMT Jan 11
• SUP 1: 111-06+ Low Jan 05
• SUP 2: 110-29+ 50-day EMA
• SUP 3: 110-16 Low Dec 13
• SUP 4: 109-31+ Low Dec 11 and a key short-term support

Treasuries saw a sharp, but brief, spell of support before selling pressure tipped prices lower after the higher-than-expected CPI release. Nonetheless, the brief rally and subsequent pullback kept the technical parameters intact. This retains the short-term bearish corrective cycle. The print below the 20-day EMA suggests scope for a continuation lower near-term. The next key pivot support is 110-29+, the 50-day EMA. Moving average studies continue to suggest the medium-term trend direction is up. A recovery would refocus attention on the bull trigger at 113-12, the Dec 27 high. Clearance of this level resumes the uptrend.