FXStreet reports that according to Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, the strong rebound off the 1.12 support seen in the U.S. 10-year yields implies an interim low is in place. A push higher is expected.

“The US 10Y yield has again tested and held over the February 10 low at 1.12 and the sharp rebound from here implies that this may be an interim low. We would also highlight that the market has remained underpinned by the 55-week ma at 1.157 and generally we are looking for another leg higher.”

“The recovery is well-placed to test resistance at 1.43/46 (the May low and mid-July high) and should it be overcome we would allow for another attempt on the short-term downtrend and the April low and the late June high at 1.52/55. A close above here would re-target the 1.78 April high.”