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(H1) Off Recent Highs

GILT TECHS
  • RES 4: 137.00 Round number resistance
  • RES 3: 136.48 1.00 proj of the Dec 2 - 11 rally from the Dec 24 low
  • RES 2: 135.96/99 High Jan 4 / High Dec 11 and the bull trigger
  • RES 1: 135.16 High Jan 6
  • PRICE: 134.96 @ Close Jan 6
  • SUP 1: 134.68 Low Jan 6
  • SUP 2: 134.47 76.4% retracement of the Dec 24 - Jan 4 rally
  • SUP 3: 134.01 Low Dec 24 and key support
  • SUP 4: 133.63 Low Dec 4

Gilt futures started the year on a firm note trading to a high just short of key resistance at 135.99, Dec 11 high. The contract however has reversed lower from Monday's high of 135.96 and yesterday's weakness resulted in a break of support at 134.89, Dec 30 low. The move lower highlights a bearish intraday risk with the focus on 134.47 next, a Fibonacci retracement. A break above 135.96/99 is required to resume the recent bullish theme.

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