USD Signals Firm as 10-Year Yields Reignite Rally

Monday's bond market action confirms the dollar's renewed bid, with 10-year and 30-year yields climbing again after last week's sharp pullback. This yield resurgence directly feeds into our EUR/USD short bias, as capital rotates toward higher-yielding dollar assets amid Treasury financing concerns rattling Wall Street.

Trade Setup: Sell EUR/USD on rallies toward 1.0850 (Entry). Stop Loss placed at 1.0920 to protect against a yield reversal. Take Profit targeted at 1.0680, offering a Risk/Reward ratio of approximately 1:2.4.

This signal assumes continued Treasury supply anxiety keeps yields elevated through the week. Traders should monitor auction results closely, as any dovish surprise could compress the yield-USD correlation driving this setup.