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(M4) Pullback Appears To Be A Correction

US 10YR FUTURE TECHS
  • RES 4: 110-16 50.0% retracement of the Feb 1 - Apr 25 bear leg
  • RES 3: 110-06 High Apr 4
  • RES 2: 110-00 Round number resistance
  • RES 1: 109-31+ High May 16 and the bull trigger
  • PRICE: 109-04 @ 11:18 BST May 23
  • SUP 1: 108-29+/108-15 20-day EMA / Low May 14 and key support
  • SUP 2: 108-06 Low May 3
  • SUP 3: 107-25 Low May 2
  • SUP 4: 107-04 Low Apr 25 and the bear trigger

Despite the latest pullback in Treasuries - a correction, the short-term trend condition remains bullish. Recent gains through resistance at the top of a bear channel, drawn from the Feb 1 high, reinforce a bullish theme. Note that resistance at 109-09+, May 3 high, has also been cleared. This strengthens a bullish condition and signals scope for an extension higher. Sights are on the 110-00 handle next. Initial key support is at 108-15, the May 14 low.

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