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M(1) Consolidating

BOBL TECHS
  • RES 4: 135.050 High Apr 22
  • RES 3: 135.040 High May 6 and key short-term resistance
  • RES 2: 135.008 61.8% retracement of the Mar 25 - May 19 downleg
  • RES 1: 134.850 High May 26 and 27
  • PRICE: 134.730 @ 05:21 BST Jun 2
  • SUP 1: 134.410 Low May 24
  • SUP 2: 134.180/140 Low May 19 / Low Feb 26 and key support
  • SUP 3: 134.000 Round number support
  • SUP 4: 133.340 Low Mar 19, 2020 (cont)

Bobl futures are consolidating. The contract reversed course on May 27 and gains stalled just above key resistance highlighted by the 50-day EMA. The average intersects at 134.808. Recent gains are still considered a correction. A reversal lower would signal scope for a move towards 134.410, May 24 low with the key support zone at 134.180/140, May 19 and Feb 26 lows respectively. A strong break of last week's 134.850 high would resume gains.

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