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(H3) Bearish Theme Still In Play

BUND TECHS
  • RES 4: 141.70 High Dec 13
  • RES 3: 140.73 High Jan 19 and the bull trigger
  • RES 2: 139.36 High Jan 25 and key resistance
  • RES 1: 137.83 50-day EMA
  • PRICE: 137.08 @ 04:57 GMT Feb 2
  • SUP 1: 136.38 Low Jan 30
  • SUP 2: 136.04 Low Jan 10
  • SUP 3: 135.71 61.8% retracement of the Jan 2 - 19 bull run
  • SUP 4: 135.08 Low Jan 4

Bund futures are consolidating but remain bearish. The contract traded lower Monday, extending the recent break of 137.53, Jan 16 low. The move lower threatens a recent bullish theme and the break of 137.53 signals scope for a deeper retracement. This opens 136.04, Jan 10 low. On the upside, key short-term resistance is at 139.36, the Jan 25 high. Clearance of this hurdle would signal a base. Initial resistance is at 137.83, the 50-day EMA.

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