MNI Asian Morning FI Technical Analysis

21 December 2017

By Kyle Shortland

Click below for today's MNI FI Technical Analysis Report -

http://tinyurl.com/phluope

AUSSIE 3-YR TECHS: (H18) Immediate Focus On 97.720-820 Support Region 

*RES 4: 98.065 - Hourly resistance Dec 4, High Dec 8 

*RES 3: 98.015 - High Dec 12 

*RES 2: 98.975 - 55-DMA 

*RES 1: 98.910 - Hourly resistance Dec 18

*PRICE: 97.840 @ 2030GMT

*SUP 1: 97.820 - Repeated daily lows 

*SUP 2: 97.770 - Low Sept 22 

*SUP 3: 97.720 - 2017 Low Sept 21 

*SUP 4: 97.605 - 2015 Low Dec 12

*COMMENTARY: Continued fresh 2mth lows add weight to the bearish case with focus

firmly on the 97.720-820 support region where 2017 lows are located. The

Bollinger base (97.840) and O/S daily studies are concerns for bears with

potential to limit follow through. In saying that, bulls continue to look for a

close above 97.910 to ease immediate bearish pressure and above the 55-DMA to

hint at a move back to 98.110-130 with above 98.065 to confirm.

AUSSIE 10-YR TECHS: (H18) Potential For Move Targeting 97.0750-0900 

*RES 4: 97.5118 - Bollinger band top

*RES 3: 97.5000 - Hourly resistance Dec 1, High Dec 8

*RES 2: 97.4400 - High Dec 18

*RES 1: 97.3650 - Low Dec 17 now resistance

*PRICE: 97.3100 @ 2030GMT

*SUP 1: 97.2600 - High Oct 30 now support

*SUP 2: 97.2200 - High Oct 25 now support

*SUP 3: 97.1450 - Low Oct 25

*SUP 4: 97.0900 - Monthly Low Oct 3

*COMMENTARY: Having looked heavy Tuesday bears have not been disappointed with

the contract remaining heavy. The close below the 100-DMA (97.3234) confirms

focus immediate on 97.2200-2600 and potentially targets a move back to

97.0750-0900. Resistance layers are building and weighing with bulls now needing

a close above 97.3650 to ease bearish pressure and above 97.4400 to shift focus

back to 97.5200.

US 10-YR FUTURE TECHS: (H18) Bears Focused On 122-20+/123-07+

*RES 4: 124-13+ High Dec 18

*RES 3: 124-05  Hourly support Dec 13 now resistance

*RES 2: 123-29+ Low Dec 13 now resistance

*RES 1: 123-27  Lows Oct 25 & 27 now resistance

*PRICE: 123-14+ @ 2030GMT

*SUP 1: 123-07+ High Mar 13 now support

*SUP 2: 123-03+ Daily Bear channel base

*SUP 3: 122-20+ Monthly Low Mar 14

*SUP 4: 122-14+ 2016 Low Dec 15 2016

*COMMENTARY: Repeated topside failures ahead of the key 124-18+/23+ resistance

region where the bear channel top and 55-DMA are located resulted in a break of

key supports and bears now focused on 122-20+/123-07+ where monthly lows and the

bear channel base are noted. Daily studies are well placed for losses but the

Bollinger base (123-21+) is a concern. Layers of resistance are weighing with

bulls needing a close above 124-05 to return focus to 124-18+/23+.

US 10-YR YIELD TECHS: Rally Targeting 2017 High

*RES 4: 2.641 - 2016 High Dec 15 

*RES 3: 2.628 - 2017 High Mar 13 

*RES 2: 2.544 - High Mar 17 

*RES 1: 2.536 - Weekly Bear channel top (Off 2014 high)

*PRICE: 2.495 @ 2030GMT

*SUP 1: 2.472 - Hourly support Dec 20 

*SUP 2: 2.443 - Hourly support Dec 19 

*SUP 3: 2.423 - Hourly support Dec 19a 

*SUP 4: 2.401 - Hourly resistance Dec 19 now support

*COMMENTARY: Pressure on the channel base failed to produce a break lower with

the correction higher seeing a close above 2.477 shift bullish focus to tests of

2.628-641 where 2017 & 2016 highs are situated. Daily studies remain well placed

for gains. Layers of support are building and providing bulls confidence. Bears

now look for a close below 2.423 to ease immediate bullish pressure and confirm

a correction back to 2.344-374.

JGB TECHS: (H18) Below 150.54 Confirms Focus On 150.06-19 

*RES 4: 151.01 - High Dec 18

*RES 3: 150.93 - Hourly support Dec 19 now resistance

*RES 2: 150.81 - Hourly support Dec 20 now resistance

*RES 1: 150.70 - 55-DMA

*PRICE: 150.84 @ 2030GMT

*SUP 1: 150.61 - 200-DMA 

*SUP 2: 150.54 - High Nov 2 now support 

*SUP 3: 150.08 - Monthly Low Oct 3 

*SUP 4: 150.06 - Low July 20

*COMMENTARY: The sell-off that has defined the week so far sees immediate focus

on 150.54-61 where the 200-DMA is located. Bears now look for a close below

150.54 to confirm focus on 150.06-19 where monthly lows are noted. Daily studies

are well placed for further losses. Bulls now need a close above 150.81 to ease

bearish pressure and shift initial focus back to 151.01.

--MNI Beijing Bureau; tel: +44 207-862-7435; email: kyle.shortland@mni-news.com

[TOPICS: MTABLE]