(Z18) 21-DMA Dictates *RES.....>

US 10YR FUTURE TECHS: (Z18) 21-DMA Dictates

*RES 3: 119-00 Sep 28 high

*RES 2: 118-16+ Oct 1 low

*RES 1: 118-08+ 21-dma

*PRICE: 118-00 @ 16:45 GMT, Oct 19

*SUP 1: 117-13+ Low Oct 8

*SUP 2: 116-30 Bear channel bottom (continuation chart)

*SUP 3: 116-20 Breakout target from triangle pattern (continuation chart)

Markets failed to cement the late gains seen Thursday, keeping the 21-dma (now

at 118-08+) the key resistance level for now. Should prices fail to break above

here, markets will likely keep focus on the Oct 8 low at 117-13+. A break below

this level would bring the bear channel bottom at 116-30 into play. Bulls need a

break of the 21-dma to shift the short-term outlook more positive, opening the

Sep 28 high at 119-00. Above here would mark a significant improvement in the

longer-term outlook.