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(U3) Key Support Appears Exposed

US 10YR FUTURE TECHS
  • RES 4: 113-08 High Jul 18 and a bull trigger
  • RES 3: 112-24+ 50-day EMA
  • RES 2: 112-17+ High Jul 24
  • RES 1: 111-29+/112-07 20-day EMA / High Jul 27
  • PRICE: 111-05 @ 11:20 BST Aug 2
  • SUP 1: 110-25+ Low Jul 28
  • SUP 2: 110-13 Low Jul 7
  • SUP 3: 110-05 Low Jul 6 and the bear trigger
  • SUP 4: 109-14 Low Nov 8 2022 (cont)

Treasuries traded lower yesterday, however, the contract remains above last week’s low. The latest bear leg appears to be a correction but the extended sell-off does highlight a possible bearish threat. Price has breached all relevant short-term retracement points. A continuation lower would expose the key support at 110-05, the Jul 6 low. Clearance of this level would resume the medium-term downtrend. Initial firm resistance is at 112-07, Jul 27 high.

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