MNI Asian Morning FI Technical Analysis

12 January 2018

By Kyle Shortland

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

http://tinyurl.com/phluope

AUSSIE 3-YR TECHS: (H18) Bulls Need Close Above 97.910 

*RES 4: 97.938 - 100-DMA 

*RES 3: 97.910 - Hourly resistance Dec 18 

*RES 2: 97.868 - 21-DMA 

*RES 1: 97.855 - High Jan 10

*PRICE: 97.825 @ 2030GMT

*SUP 1: 97.800 - Hourly support Jan 11 

*SUP 2: 97.770 - Low Sept 22 

*SUP 3: 97.720 - 2017 Low Sept 21 

*SUP 4: 97.605 - 2015 Low Dec 12

*COMMENTARY: The 21-DMA has capped the recovery from Dec lows and ensures that

focus remains on the 97.720-770 support region. The lack of downside follow

through Wednesday is less than I deal for bears. In saying that, bull continue

to look for a close above 97.910 to confirm a break of the 21-DMA and above the

55-DMA (97.969) to shift immediate focus to 98.015-065 where the 200-DMA

(98.035) is located.

     AUSSIE 10-YR TECHS: (H18) 97.3100-4000 Resistance Region Key 

*RES 4: 97.3646 - 200-DMA

*RES 3: 97.3400 - High Jan 9

*RES 2: 97.3100 - Hourly support Jan 4 now resistance

*RES 1: 97.2800 - Hourly support Jan 3 now resistance

*PRICE: 97.2550 @ 2030GMT

*SUP 1: 97.2243 - 200-WMA

*SUP 2: 97.2100 - Low Jan 10

*SUP 3: 97.1450 - Low Oct 25

*SUP 4: 97.0900 - Monthly Low Oct 3

*COMMENTARY: The lack of follow through on the break of 97.2200 is less than

ideal with the contract flirting with the 200-WMA. Bears now need a close below

97.2100 to confirm a break and shift focus to 97.0750-1450 where monthly lows

are located. Bulls continue to look for a close above 97.3100 to ease bearish

pressure and above 97.4000 to shift focus to 97.5200.

     US 10-YR FUTURE TECHS: (H18) 123-09+/24+ Resistance Key

*RES 4: 124-02+ High Dec 29

*RES 3: 123-24+ 21-DMA

*RES 2: 123-20  High Jan 8

*RES 1: 123-09  Hourly support Jan 9 now resistance

*PRICE: 123-03 @ 2030GMT

*SUP 1: 122-27+ Low Jan 11

*SUP 2: 122-22+ Monthly Low Apr 4 2014, 2018 Low Jan 10

*SUP 3: 121-22+ Monthly Low July 1 2011

*SUP 4: 120-25+ Low Apr 29 2011

*COMMENTARY: Fresh 3+yr lows resulted in a dip below the bear channel base

before finding support at 122-22+. Bears now look for a close below this level

to shift focus to 120-25+/121-22+. The Bollinger base (122-27+) is a concern for

bears and limits follow through. Layers of resistance remain with bulls needing

a close above 123-09 to ease bearish pressure and above the 21-DMA to shift

focus to 124-02+/13+ where the bear channel top and 55-DMA are noted.

     US 10-YR YIELD TECHS: 2.504 Support Key Today

*RES 4: 2.641 - 2016 High Dec 15 

*RES 3: 2.629 - 2017 High Mar 13 

*RES 2: 2.597 - 2018 High Jan 10 

*RES 1: 2.570 - High Jan 11

*PRICE: 2.537 @ 2030GMT

*SUP 1: 2.504 - High Dec 21 now support 

*SUP 2: 2.462 - Low Jan 8 

*SUP 3: 2.451 - 21-DMA 

*SUP 4: 2.429 - Daily Bull channel base

*COMMENTARY: The lack of topside follow through on fresh 10mth highs is a

concern for bulls who are currently focused on 2.629-692 where yearly and

monthly highs are situated. Daily studies have room to move before O/B becomes

an issue. Bears continue to look for a close below 2.504 to gain breathing room

and hint at a correction back to 2.399-2.450 where the 21 & 55-DMAs and bull

channel base off Sept lows are noted.

     JGB TECHS: (H18) Above 200-DMA To Ease Bearish Pressure 

*RES 4: 150.84 - 2018 High Jan 4

*RES 3: 150.77 - 55-DMA, 100-DMA

*RES 2: 150.63 - 200-DMA

*RES 1: 150.54 - High Jan 11

*PRICE: 150.37 @ 2030GMT

*SUP 1: 150.30 - 2018 Low Jan 10 

*SUP 2: 150.19 - Low Oct 23 

*SUP 3: 150.08 - Monthly Low Oct 3 

*SUP 4: 150.06 - Low July 20

*COMMENTARY: Having remained capped around the 21-DMA the past couple of weeks

has taken its toll with a sell-off and bearish close Tuesday that sees focus

back on layers of support 150.06-19 where monthly lows are situated. Daily

studies have room to move before O/S is an issue. The 200-DMA remains key

resistance with bulls needing a close above this level to ease immediate bearish

pressure and above 150.84 to shift focus to 151.01-21.

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

[TOPICS: MTABLE]