(M9) Making New Highs *RES 3:............>

GILT TECHS: (M9) Making New Highs

*RES 3: 128.49/74 138.2%/150% retracement of 125.55-127.60

*RES 2: 128.18 123.6% retracement of 125.55-127.60

*RES 1: 127.72 High March 20

*PRICE: 127.66 @ Mar 20 Close

*SUP 1: 127.16 Low Mar 20

*SUP 2: 126.76 Low Mar 19

*SUP 3: 126.47/39 Low Mar 14/50-dma

Gilt futures ended Wed at the highs of the day, having broken out of the recent

trading range. Indeed, on the continuation chart the last time we traded higher

than this was in September 2017. With the dovish Fed statement coming out after

the gilt market closed, focus is likely to remain on the upside. With little

near-term levels, the Fibo 123.6% projection of 125.55-127.60 comes in at 128.18

which will provide the next upside level with the 138.2% and 150% levels at

128.49/74. For a neutral outlook, yesterday's low at 127.16 needs to be taken

out before Tues low at 126.76 can be challenged to build downside momentum.