FXStreet (Delhi) – Dmytro Bondar, Technical Analyst at RBS, suggests that the US treasuries market saw a recovery after getting support at the 125-09 futures level. Key Quotes “However momentum is negative, with the 2.15% / 2.17% resistance area unlikely to be broken (it is formed by the 50- and 200-day MA and a Fibonacci level). Therefore, with the caveat of a break below 2.14%, I favour staying short 2.37% and possibly 2.47%. Spread-wise, the spread between the 10-yr US and Germany confirms my view for the 160 bps support holding. Hence we stay short US vs Germany to 189 bps onto 205 bps, with the caveat of a close below 149 bps 2.15%/2.17% resistance is expected to hold with 2.37% attracting Treasuries Strategy: short to 2.37% onto 2.47% (caveat is a break below 2.14%); TYs/Bunds widening to 189 bps SUP: 2.29 2.37 2.40 2.49 RES: 2.17 2.11 2.05 1.97” For more information, read our latest forex news.