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(M3) Strong Reversal

BUND TECHS
  • RES 4: 136.22 High Feb 9
  • RES 3: 135.57 61.8% retracement of the Feb 2 - Mar 2 bear leg
  • RES 2: 134.57 50.0% retracement of the Feb 2 - Mar 2 bear leg
  • RES 1: 134.30 High Feb 24
  • PRICE: 133.67 @ 04:43 GMT Mar 13
  • SUP 1: 132.37 Low Mar 10 a key near-term support
  • SUP 2: 131.07 Low Mar 9
  • SUP 3: 130.35 Low Mar 2 and the bear trigger
  • SUP 4: 130.00 Psychological round number

Bund futures reversed sharply higher late last week and the contract maintains a firmer tone. The strong impulsive rally is fast unwinding a recent oversold trend condition. Price has cleared the 20-day EMA and the focus is on 134.57, a Fibonacci retracement point. On the downside, initial support lies at Friday’s intraday low of 132.37. A break of this support is required to highlight a bearish threat once again.

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