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(Z3) 20-day EMA Tested Ahead of the Fed

US 10YR FUTURE TECHS
  • RES 4: 109-20 High Sep 19
  • RES 3: 108-03+/16 50-day EMA / High Oct 12 and key resistance
  • RES 2: 107-22+ High Oct 16
  • RES 1: 106-23+/27+ 20-day EMA / High Nov 1
  • PRICE: 106-21+ @ 16:21 GMT Nov 1
  • SUP 1: 105-10+ Low Oct 19 and the bear trigger
  • SUP 2: 104-26 2.00 proj of the Jul 18 - Aug 4 - Aug 10 price swing
  • SUP 3: 103-31 2.0% 10-dma envelope
  • SUP 4: 103-20+ Low Jun’07

Treasuries rallied through the London close, briefly showing above the 20-day EMA just ahead of the Fed decision. Nonetheless, the trend condition is unchanged and remains bearish. The recent breach of 106-03+, the Oct 4 low, confirmed a resumption of the downtrend and maintains the price sequence of lower lows and lower highs. This has opened 104-26, a Fibonacci projection. Key short-term trend resistance is at 108-16, the Oct 12 high.

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