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(H2) Resumes Its Downtrend

BUND TECHS
  • RES 4: 173.19 High Dec 23
  • RES 3: 172.47 20-day EMA
  • RES 2: 171.77 Low Nov 24 and recent breakout level
  • RES 1: 171.17 High Jan 4
  • PRICE: 170.32 @ 05:13 GMT Jan 6
  • SUP 1: 170.19 Low Nov 2
  • SUP 2: 169.48 Low Nov 1
  • SUP 3: 169.34 Low Oct 29 and major support
  • SUP 4: 169.08 3.618 projection of the Dec 8 - 20 price swing

Bund futures remain vulnerable and the contract has resumed its downtrend with price approaching the next objective of 170.19, the Nov 2 low. Last week’s breach of support at 171.77, Nov 24 low strengthened a bearish case. A break of 170.19 would open the major support at 169.34, the Oct 29 low. On the upside, initial firm resistance is seen at 171.77 where a break is required to ease bearish pressure.

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