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(M3) Pre-BoJ Short-Setting Crushed in Sharp Rally

JGB TECHS
  • RES 3: 151.13 - High Mar 3
  • RES 2: 149.75/150.81 - High Nov 11 / High Aug 5
  • RES 1: 148.99 High Mar 13
  • PRICE: 148.75 @ 15:48 GMT Mar 13
  • SUP 1: 144.93 - Low Mar 9
  • SUP 2: 144.15 - Low Jan 13
  • SUP 3: 143.86 - 1.0% 10-dma envelope

JGBs rallied sharply into the Friday close and added to those gains throughout Monday trade. The unchanged BoJ decision and a phase of global rate re-pricing has boosted bond prices, with recent weakness wholly reversed. The Mar02 high at 147.07 has been broken, working against the over-arching downtrend. Any resumption of weakness would expose next support at the Jan 13 low on the continuation contract at 144.15 for direction.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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