US 10-year Treasury yield could reach 2.05/10% on a break above 1.80% – SocGen

US 10-year Treasury yield is at a descending trend line drawn since last year at 1.74%. Economists at Société Générale believe that there is potential for 2.05/10% if the April high of 1.80% is overcome. 

Support 1.59% – resistance 1.80%

“It is worth noting that it has formed an Inverse Head and Shoulders pattern which generally denotes an uptrend.”

“April high of 1.80% is an important hurdle. Once this is overcome, the swap rate would affirm further extension in ongoing up move towards 1.92% and perhaps even towards projections of 2.05%/2.10%.” 

“First support is near 1.59%.”