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(M1) Bearish Price Sequence Intact

GILT TECHS
  • RES 4: 130.46 High Feb 16
  • RES 3: 129.75 High Feb 19
  • RES 2: 129.27 High Mar 2 and the key resistance
  • RES 1: 128.33 High Mar 16
  • PRICE: 128.10 @ Close Mar 16
  • SUP 1: 127.31 Low Mar 15
  • SUP 2: 127.00 Round number support
  • SUP 3: 126.85 Low May 3, 2019 (cont)
  • SUP 4: 126.55 Low Apr 17, 2019 (cont)

Gilt futures traded lower Monday and breached key support at 127.55, Feb 26 low. The break confirms a resumption of the underlying downtrend that has been in place since early August last year as the bearish price sequence of lower lows and lower highs extends. Attention is on 127.00 next and 126.85 further out, May 3, 2019 low (cont). On the upside, key resistance remains 129.27, Mar 2 high. A break is needed to signal a reversal.

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