3 Apr 2015
Key technical levels for US treasuries – RBS
FXStreet (Barcelona) - William O'Donnell, Head of US Treasury Strategy at RBS, gives the technical outlook and key levels for US 2s, 5s, 10s and 30s treasury yields.
Key Quotes
“2s - Next major support doesn't emerge until ~0.80% where we found buyers back in the spring of 2011. Resistance seen at 0.40% where we'd close a gap left behind in late October. Daily momentum is mixed and becoming overbought.”
“5s - Next major support comes in at 1.80% and just above. Next resistance begins at ~1.30% and extends down to major resistance at 1.15%. Daily momentum is still overbought and mixed/aimless.”
“10s - Next resistance comes in some congestion in and around 1.80% then the low yields of 1.64%. Next support comes in ~2.40% with major support at 2.66% after that. Daily momentum is overbought and showing signs of Bearish Divergence, a potential rally killer.”
“30s - Bonds don't have any solid support until 3.105%, the November "lows." Next resistance around 2.40%. Daily momentum is skewing bearishly from overbought readings.”
Key Quotes
“2s - Next major support doesn't emerge until ~0.80% where we found buyers back in the spring of 2011. Resistance seen at 0.40% where we'd close a gap left behind in late October. Daily momentum is mixed and becoming overbought.”
“5s - Next major support comes in at 1.80% and just above. Next resistance begins at ~1.30% and extends down to major resistance at 1.15%. Daily momentum is still overbought and mixed/aimless.”
“10s - Next resistance comes in some congestion in and around 1.80% then the low yields of 1.64%. Next support comes in ~2.40% with major support at 2.66% after that. Daily momentum is overbought and showing signs of Bearish Divergence, a potential rally killer.”
“30s - Bonds don't have any solid support until 3.105%, the November "lows." Next resistance around 2.40%. Daily momentum is skewing bearishly from overbought readings.”