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(M3) Bounce Considered Corrective

BTP TECHS
  • RES 4: 116.97 High Apr 6
  • RES 3: 116.17 76.4% retracement of the Mar 24 - Apr 24 downleg
  • RES 2: 115.48/89 High May 16 / 11
  • RES 1: 114.65 High May 22
  • PRICE: 114.17 @ Close May 29
  • SUP 1: 112.60 Low May 26
  • SUP 2: 111.88 76.4% retracement of the Mar 2 - 24 rally
  • SUP 3: 111.05 Low Mar 8
  • SUP 4: 110.79 Low Mar 7

A bearish threat in BTP futures remains present, despite Monday’s strong bounce. The contract has recently traded through both the 20- and 50-day EMAs. Key support at 112.93, the Apr 24 low, has also been breached and a continuation lower would open 111.88, a Fibonacci retracement. A break of this level would strengthen bearish conditions. Key short-term resistance is at 114.65, the May 22 high.

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