US TSYS/SUPPLY: 7Y Note Auction: 0.1bp Trade-Through, Surge In Indirects Takeup

• Treasuries hold weaker, off session lows (TYM6 110-26, -7) after the $44B 7Y note auction (91282CQN4) tailed yet again: 4.175% high yield vs. WI of 4.170%; bid-to-cover at 2.51x vs. 2.43x prior.
• Peripheral stats: Indirect take-up retreated to 58.35% vs. 62.56% prior; Direct take-up climbs to 30.01% (highest since Dec '25) vs. 25.03% prior; Dealers take at 11.64% vs. 12.41% prior.
• The next 7Y Treasury auction is tentatively scheduled for May 28.

• US TSY 7Y NOTE AUCTION: HIGH YLD 4.175%; ALLOTMENT 1.89%
• US TSY 7Y NOTE AUCTION: DEALERS TAKE 11.64% OF COMPETITIVES
• US TSY 7Y NOTE AUCTION: DIRECTS TAKE 30.01% OF COMPETITIVES
• US TSY 7Y NOTE AUCTION: INDIRECTS TAKE 58.35% OF COMPETITIVES
• US TSY 7Y AUCTION: BID/CVR 2.51

• RES 4: 1.1996 High Jan 29
• RES 3: 1.1929 76.4% retracement of the Jan 27 - Mar 13 bear leg
• RES 2: 1.1857 High Feb 18 
• RES 1: 1.1849 High Apr 17 and the bull trigger 
• PRICE: 1.1711 @ 16:56 BST Apr 28
• SUP 1: 1.1678/69 50-day EMA / Low Apr 23 
• SUP 2: 1.1590 Low Apr 8
• SUP 3: 1.1505 Low Apr 6 and a key S/T support
• SUP 4: 1.1443/11 Low Mar 30 / Low Mar 13 & 16 and the bear trigger

The latest pullback in EURUSD has so far managed to find support at the 50-day EMA - currently at 1.1678. The average has been pierced, however, a clear break of it is required to suggest a stronger short-term reversal. This would open 1.1505, the Apr 6 low. For bulls, a recovery would refocus attention on resistance at 1.1849, the Apr 17 high and bull trigger. Clearance of this hurdle would resume the uptrend that started mid-March.