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BOBL TECHS: (M3) Pullback Considered Corrective

BOBL TECHS
  • RES 4: 119.120 High May 4 and key resistance
  • RES 3: 119.020 High May 11
  • RES 2: 118.610 High May 16
  • RES 1: 118.400 High Jun 1
  • PRICE: 117.590 @ 05:15 BST Jun 5
  • SUP 1: 117.475, 50% retracement of the May 26 - Jun 1 rally
  • SUP 2: 117.080/116.550 Low May 30 / 26
  • SUP 3: 116.420 Low Apr 19 and the bear trigger
  • SUP 4: 116.170 Low Mar 13

Bobl futures maintain a bullish tone and a short-term pullback is considered corrective. The contract has recently traded above both the 20- and 50-day EMAs and this strengthens the short-term bull cycle. A continuation higher would open 118.610, the May 16 high. Further out, key short-term resistance is at 119.120, the May 4 high. On the downside, next support is at 117.475, the 50% retracement of the May 26 - Jun 1 rally.

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