ENERGY: US Oil and Gas Rigs Up 7 on Week at 549: Baker Hughes

• Tsy futures dip (FVZ5 at 109-12 from 109-12.75 at the cutoff) after the latest $70B 5Y note auction (91282CNX5) tails: 3.724% high yield vs. 3.716% WI; 2.36x bid-to-cover vs. 2.31x prior.
• Peripheral stats: Indirect take-up 60.48% from 58.28% prior, directs rise to 30.74% vs. 29.50% prior, primary dealer take-up retreats to 8.78% vs. 12.29% prior.
• The next 2Y auction is tentatively scheduled for September 24.

• US TSY 5Y NOTE AUCTION: HIGH YLD 3.724%; ALLOTMENT 84.43%
• US TSY 5Y NOTE AUCTION: DEALERS TAKE 8.78% OF COMPETITIVES
• US TSY 5Y NOTE AUCTION: DIRECTS TAKE 30.74% OF COMPETITIVES
• US TSY 5Y NOTE AUCTION: INDIRECTS TAKE 60.48% OF COMPETITIVES
• US TSY 5Y AUCTION: BID/CVR 2.36

• RES 4: 1.1851 High Sep 10 2021
• RES 3: 1.1829 High Jul 01 and the bull trigger 
• RES 2: 1.1789 High Jul 24 
• RES 1: 1.1743 High Aug 22
• PRICE: 1.1594 @ 15:53 BST Aug 27
• SUP 1: 1.1574/1.1528 Low Aug 27 / Low Aug 5 
• SUP 2: 1.1392 Low Aug 1 and bear trigger 
• SUP 3: 1.1373 Low Jun 10 
• SUP 4: 1.1313 Low May 30 

The trend set-up in EURUSD remains bullish and short-term weakness is for now considered corrective. However, the pair is trading lower today and has pierced key support at the 50-day EMA, at 1.1599. A clear break of the average would signal scope for a deeper retracement and potentially expose key M/T support at 1.1392, the Aug 1 low. For bulls, a resumption of gains would open key resistance and the bull trigger at 1.1829, the Jul 1 high.