Treasuries: increased corrective risks in the near-term – RBS

FXStreet (Barcelona) - Dmytro Bondar, Technical Analyst at RBS,, notes that bearish outside session suggests increased corrective risks in the near term for treasuries.

Key Quotes

“The market has formed a bearish outside session which, contrary to Bunds charts, indicates downside risks in the near term.”

“The price tested the area above the 129-09 resistance, but failed to close above and had a weak opening today, confirming our view that a base in yields has already formed and 1.78% being the sell level of the long-term inverted Head and Shoulders.”

“Support is at 128- 00/04+ and 127-19+.“

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