EU-BILL AUCTION PREVIEW: On offer next week

SFIM5 96.00/96.50/97.00c fly sold at 4.5 down to 4.25 in 2.5k.

• EUR/USD: $1.0400(E918mln), $1.0420-30(E1.2bln), $1.0450(E668mln), $1.0500(E1.3bln)
• USD/JPY: Y154.00($627mln), Y154.75($700mln), Y155.00($1.4bln), Y156.00($544mln)
• USD/CAD: C$1.4500($1.1bln)
• USD/CNY: Cny7.2800($600mln)

• RES 4: 110-25   High Dec 12
• RES 3: 110-19   76.4% retracement of the Dec 6  - Jan 13 bear leg.    
• RES 2: 109-31   High Dec 18  
• RES 1: 109-12   50-day EMA 
• PRICE:‌‌ 109-05+ @ 10:40 GMT Jan 29
• SUP 1: 108-00/107-06 Low Jan 16 / 13 and the bear trigger    
• SUP 2: 107-04   Low Apr 25 ‘24 and a key support  
• SUP 3: 107-00   Round number support
• SUP 4: 106-11   2.00 proj of the Oct 1 - 14 - 16 price swing  

A bullish short-term cycle in Treasury futures highlights a corrective phase and the contract is holding on to its recent gains. Attention is on 109-12, the 50-day EMA - a level tested on Monday. A clear break of this EMA would strengthen a bullish theme and open 109-31, the Dec 18 high. The medium-term trend condition remains bearish. The bear trigger is 107-06, the Jan 13 low. Initial support has been defined at 108-00, the Jan 16 low.