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(H2) Corrective Cycle Still In Play

BUND TECHS
  • RES 4: 170.42 High Jan 27
  • RES 3: 169.68 50.0% retracement of the Dec 8 - Feb 16 downleg
  • RES 2: 168.59 50-day EMA
  • RES 1: 168.01 High Feb 24
  • PRICE: 166.80 @ 05:12 GMT Feb 25
  • SUP 1: 165.16 Low Feb 22
  • SUP 2: 164.34 Low Feb 16 and the bear trigger
  • SUP 3: 164.00 Round number support
  • SUP 4: 163.63 Low Mar, 2019 (cont)

Bund futures traded higher Thursday and breached resistance at 167.17, Feb 22 high and trendline resistance at 167.20. The trendline is drawn from the Dec 20 high. Despite a pullback from yesterday’s high, price action signals scope for a stronger short-term correction that has opened the 50-day EMA at 168.59. This EMA represents a key resistance area. Initial support to watch is at 165.16, the Feb 22 low.

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