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(U2)‌‌ Watching Trendline Support

US 10YR FUTURE TECHS
  • RES 4: 123-13+ 1.764 proj of the 14 - 23 - 28 price swing
  • RES 3: 122-29+ High Mar 31
  • RES 2: 122-25 2.0% 10-dma envelope
  • RES 1: 120-29/122-02 High Aug 4 / High Aug 02
  • PRICE: 119-20+ @ 11:14 BST Aug 08
  • SUP 1: 119-05+ 50-day EMA
  • SUP 2: 118-03 Trendline support drawn from the Jun 16 low
  • SUP 3: 117-14+ Low Jul 21 and key near-term support
  • SUP 4: 116-11 Low Jun 28

Treasuries traded lower Friday and in the process cleared a number of support levels. The trend direction remains up though and recent weakness is considered corrective. The contract has remained above support at the 50-day EMA, which intersects at 119-05+. Just below this level is a trendline support at 119-03. A break of this zone would threaten the uptrend. A reversal higher would refocus attention on the bull trigger at 122-02.

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