Hi fgingat,
You are correct, this does appear to be a retraction issue. To start you will want to determine where the blobs are occurring in relation to the layer status so that you may react accordingly with the corresponding solution below.
If your blobs are occurring at the end of layers,
you can enable coasting or wiping in the Extruder Tab. Coasting will use the excess filament to fill the remaining distance in a layer and wiping will disperse the filament that had been causing the blobs. If you see improvement, but haven’t completely gotten rid of the blobs, try increasing the wipe or coast distance in increments of less than 1mm, to further distribute that filament. If you choose to use a wipe, you can also turn on perform retraction while wiping in the Advanced Tab to remove the time where your extruder stands still, further reducing the chances that any filament will blob onto your print. It’s also possible that your retractions are happening too slowly, and letting filament leak out before it is fully retracted. Try speeding up your retraction in the Extruder Tab.
If your blobs are occurring at the beginning of layers,
A prime action at the beginning of your layers may be pushing filament too far into your extruder, so much so that some actually forms as a blob on your print. To combat this, try adding a small negative extra restart distance in the Extruder Tab, to prevent accidental extrusion.
If you would like to read up some more on what coasting, wiping, and extra restart distance are actually doing you may find this post by
KeyboardWarrior pretty interesting:
Tip of the Day 10 - Extruder tab, a technical analysis
I hope this helps you get everything working much better.
-DarthRevan