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‌‌(Z2)‌‌ Sell-Off Exposes Key Support

US 10YR FUTURE TECHS
  • RES 4: 113-30 High Oct 4
  • RES 3: 113-00 50-day EMA
  • RES 2: 112-22+ High Oct 6
  • RES 1: 111-03/111-31 20-day EMA / High Oct 27
  • PRICE: 109-28 @ 15:37 GMT Nov 3
  • SUP 1: 109-12 Low Nov 03
  • SUP 2: 108-26+ Low Oct 21 and the bear trigger
  • SUP 3: 108-06+ Low Oct 2007 (cont)
  • SUP 4: 107.06 3.0% 10-dma envelope

Treasuries continue to weaken and remain below last week’s high of 111-31 on Oct 27 - a key short-term resistance. A break of this hurdle would signal scope for an extension higher near-term and expose the 50-day EMA at 112-29. However, today’s extension lower exposes the key support and bear trigger at 108-26+, the Oct 21 low. A break of this support would confirm a resumption of the primary downtrend.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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