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(M2) Trades Above Key S/T Resistance

GILT TECHS
  • RES 4: 122.35 High Apr 4
  • RES 3: 121.84 50.0% retracement of the Mar 1 - May 9 bear leg
  • RES 2: 120.96 High Apr 6
  • RES 1: 120.67 38.2% retracement of the Mar 1 - May 9 bear leg
  • PRICE: 120.21 @ 09:30 May 12
  • SUP 1: 118.25/116.87 Low May 11 / Low May 9 and the bear trigger
  • SUP 2: 116.35 Low Dec 30 2015 (cont)
  • SUP 3: 115.40 1.00 proj of the Mar 1 - 28 - Apr 4 price swing
  • SUP 4: 115.00 Round number support

The trend direction in Gilt futures remains down and gains are considered corrective. Today’s move higher has resulted in a break of resistance at 119.79, the Apr 25 high. This signals potential for a stronger short-term corrective phase and opens 120.67 next, a Fibonacci retracement. On the downside, key support has been defined at 116.87, the May 9 low. This is also the bear trigger.

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