FED: US TSY TO SELL $44.000 BLN 7Y NOTES NOV 26, SETTLE DEC 01

• Modest risk-off moves coincide with Pres Trump expecting "$20T in US until year end", while he expects to "have a good deal with Xi" when he meets w/ Pres Xi in South Korea on October 29.
• The Dec'25 10Y futures contract trades +6.5 at 113-25.5, 113-17 low / 113-27.5 high on decent volume of 1.06M.
• Stocks are back to paring gains:
  • DJIA up 257.66 points (0.55%) at 46963.72
    S&P E-Mini Future down 1.75 points (-0.03%) at 6772
    Nasdaq down 53.9 points (-0.2%) at 22936.2

• RES 4: 1.1919 High Sep 17 and a bull trigger
• RES 3: 1.1820 High Sep 23
• RES 2: 1.1775 61.8% retracement of the Sep 17 - Oct 9 bear leg 
• RES 1: 1.1730 50.0% retracement of the Sep 17 - Oct 9 bear leg 
• PRICE: 1.1612 @ 15:20 BST Oct 21
• SUP 1: 1.1602/1542 Low Oct 9 and the bear trigger
• SUP 2: 1.1516 76.4% retracement of the Aug 1 - Sep 17 bull leg 
• SUP 3: 1.1392 Low Aug 1 and bear trigger 
• SUP 4: 1.1313 Low May 30

The latest recovery in EURUSD signals a potential reversal and undermines a recent bearish theme, suggesting the corrective cycle between Sep 17 - Oct 9, may be over. Note that moving average studies are in a bull-mode position - for now - highlighting a dominant medium-term uptrend. A resumption of gains would open 1.1775 next, a Fibonacci retracement. Key support and the bear trigger lies at 1.1542, the Oct 9 low.          

Tuesday's Europe rates/bond options flow included:

• DUZ5 107.40/107.50cs, sold at 1.25 in 10k
• RXF6 128.50p, bought for 32 in 3.4k
• ERH6 98.00/98.0625/98.125/98.1875 call condor, paper pays 0.5 in 2.25k
• ERH6 98.125/98.25cs vs ERZ5 98.0625/98.1875cs, bought for 2 in 1.5k
• ERJ6 98.25/98.43/98.62c fly, bought for 2.25 in 5k
• ERM6/ERZ5 97.9375p calendar spread, bought for 1.75 in 4k
• ERU6 98.50/75 1x1.5 call spread, paper pays 1.0 for 5k
• 0RH6 98.25/98.50/98.75c fly, bought for 2.5 in 5k
• SFIG6 96.40/96.55cs 1x1.5, bought for 2.5 in 3k
• SFIH6 96.50/96.55cs, bought for 1.25 in 2k