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(M3) Corrective Bounce

GILT TECHS
  • RES 4: 99.81 20-day EMA
  • RES 3: 99.73 Low Apr 19
  • RES 2: 99.21 High May 19
  • RES 1: 97.98 High May 23
  • PRICE: 96.61 @ Close May 24
  • SUP 1: 94.76 76.4% of the Oct 12 - Nov 24 2022 rally (cont)
  • SUP 2: 94.51 3.00 projection of the May 3 - 10 - 11 price swing
  • SUP 3: 93.92 3.236 projection of the May 3 - 10 - 11 price swing
  • SUP 4: 93.27 3.382 projection of the May 3 - 10 - 11 price swing

Gilt futures remain in a bear mode position but the contract managed to recover from yesterday’s low of 94.94. The trend is oversold and a rebound would allow the oversold condition to unwind. The primary trend direction remains down following the recent acceleration of the bear cycle. Sights are set on 94.76 next, 76.4% of the Oct 12 - Nov 24 2022 rally (cont). Initial resistance is at Tuesday’s intraday high of 97.98.

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