MNI European Morning FI Technical Analysis

23 August 2017

By Kyle Shortland

Please click on this link to access MNI's daily European FI Technical Analysis

Pdf - http://tinyurl.com/nhjogts

BUND TECHS: (U17) 164.88 Resistance Remains Key

*RES 4: 165.44 High June 26

*RES 3: 164.88 Falling daily TL

*RES 2: 164.79 Low June 21 now resistance

*RES 1: 164.64 High Aug 10

*PREVIOUS CLOSE: 164.37

*SUP 1: 164.12 Low Aug 22

*SUP 2: 164.00 Hourly support Aug 18

*SUP 3: 163.97 Daily Bull channel base

*SUP 4: 163.69 Hourly support Aug 16

*COMMENTARY: The 164.00 support provided the base for Monday's rally with the

close above 164.21 seeing immediate focus back to 164.64-88 where the falling

daily TL is noted. Bulls continue to look for a close above the falling daily TL

to confirm focus on tests of 165.44-55 where June highs are situated. Layers of

support remain with bears needing a close below 163.69 to ease immediate bullish

pressure and below the 55-DMA (163.16) to target 162.50-63.

BOBL TECHS: (U17) Key Resistance Capping

*RES 4: 133.02 Bollinger band top 

*RES 3: 132.95 High June 21

*RES 2: 132.91 Falling daily TL 

*RES 1: 132.89 High Aug 21

*PREVIOUS CLOSE: 132.85

*SUP 1: 132.75 Low Aug 22

*SUP 2: 132.65 Low Aug 18

*SUP 3: 132.58 Low Aug 17

*SUP 4: 132.48 100-DMA

*COMMENTARY: Pressure remains on layers of resistance 132.89-95 with bulls

needing a close above to reconfirm a bullish bias and initially target June

highs (133.26). O/B daily studies and the Bollinger top are key concerns for

bulls. The 132.75 support is now key with bears needing a close below to gain

breathing room and hint at a correction back to 132.17-48 where key DMAs and the

bull channel base (132.21) are clustered.

SCHATZ TECHS: (U17) Bears Need Close Below 112.175

*RES 4: 112.290 Daily Bull channel top 

*RES 3: 112.230 Monthly High June 12 

*RES 2: 112.220 Bollinger band top 

*RES 1: 112.210 High Aug 22

*PREVIOUS CLOSE: 112.200

*SUP 1: 112.175 Low Aug 22 

*SUP 2: 112.140 21-WMA, Daily bull channel base 

*SUP 3: 112.130 High Aug 1 

*SUP 4: 112.120 21-DMA

*COMMENTARY: Sideways trading 112.130-190 appears to have ended with bullish

closes above 112.190 that sees bulls focused on the 112.230-290 region where

June highs and the daily bull channel top are located. Studies lingering at O/B

levels and the Bollinger top remain key concern for bulls. Bears now need a

close below 112.175 to return pressure to 112.120-140 where 21 & 100-DMAs and

the 21-WMA are situated.

GILT TECHS: (U17) Hinting At Correction To 126-85-127.22

*RES 4: 129.01 High June 15 

*RES 3: 128.68 High June 21 

*RES 2: 128.24 High Aug 11 

*RES 1: 128.05 High Aug 21

*PREVIOUS CLOSE: 127.64

*SUP 1: 127.49 Low Aug 22 

*SUP 2: 127.22 Low Aug 16 

*SUP 3: 127.06 Low Aug 9 

*SUP 4: 126.85 55-DMA

*COMMENTARY: Daily studies are looking to correct from O/B are weighing on the

contract. Bulls continue to look for a close above 128.24 to reconfirm the

bullish bias and initially target 128.68-129.19. Failure to trouble the 128.19

resistance this week is a concern for bulls. In saying that, bears still need a

close below 127.52 to ease pressure on 128.24 and see focus return to layers of

support 126.85-127.22.

SHORT-STERLING TECHS: (Z17) 99.619 & 99.650 Levels Remain Key

*RES 4: 99.690 2017 Highs June 12 & 13

*RES 3: 99.674 Bollinger band top

*RES 2: 99.665 Daily Bull channel top

*RES 1: 99.650 High June 21 & Aug Repeatedly

*PREVIOUS CLOSE: 99.650

*SUP 1: 99.630 Repeated Daily Lows Aug

*SUP 2: 99.620 Low Aug 8 & 9

*SUP 3: 99.619 21-DMA

*SUP 4: 99.600 Low Aug 4

*COMMENTARY: The 99.650 resistance continues to cap attempts to break for a

fresh leg higher targeting 99.690 2017 highs. Initial support is noted at 99.630

but bears now look for a close below the 21-DMA to shift focus back to 55 &

100-DMAs 99.588-597. The Bollinger top (99.674) remains the key concern for

bulls with potential to limit follow through on a break higher.

EURIBOR TECHS: (H18) Bollinger Top Capping

*RES 4: 100.375 - High Oct 4 

*RES 3: 100.360 - High Oct 6 

*RES 2: 100.330 - High Oct 19 

*RES 1: 100.315 - 2017 High Aug 22, Bollinger top

*PREVIOUS CLOSE: 100.310

*SUP 1: 100.300 - Low Aug 11 - 16

*SUP 2: 100.298 - 21-DMA

*SUP 3: 100.285 - 55-DMA

*SUP 4: 100.275 - Alternating daily support/resistance

*COMMENTARY: Consolidation above the 21-DMA has retained pressure on 100.310

resulting in fresh 2017 highs before the Bollinger band top capped. Daily

studies at O/B levels and the Bollinger top are concerns for bulls. In saying

that, bears still need a close below the 21-DMA to ease bullish pressure and

below the 55-DMA to signal a correction that initially targets the 100-DMA

(100.271). While the 21-DMA supports bull target 100.330-360.

US 10-YR FUTURE TECHS: (U17) Focus Returns To 125-260/126-110

*RES 4: 127-080 - Monthly High June 14 

*RES 3: 127-070 - 200-WMA 

*RES 2: 127-010 - High Aug 18 

*RES 1: 126-290 - High Aug 21

*PRICE: 126-170 @ 0430GMT

*SUP 1: 126-110 - Low Aug 17

*SUP 2: 126-040 - 55-DMA, Daily Bull channel base

*SUP 3: 126-000 - Low Aug 16

*SUP 4: 125-290 - Low Aug 8

*COMMENTARY: The lack of topside follow through Friday has left bulls struggling

ahead of the 127-010 resistance this week with the break of 126-180 seeing focus

shift back to 125-260/126-110 where key DMAs and the bull channel base are

situated. Overall bears need a close below the 100-DMA (125-250) to end bullish

hopes and initially target 125-150. Bulls now need a close above 126-290 to

reconfirm focus on 127-010/080.

US 10-YR YIELD TECHS: 2.229 Resistance Key Today

*RES 4: 2.289 - High Aug 4 & 8

*RES 3: 2.264 - Hourly support Aug 16 now resistance 

*RES 2: 2.250 - Alternating hourly support/resistance 

*RES 1: 2.229 - Hourly resistance Aug 17

*PRICE: 2.215 @ 0430GMT

*SUP 1: 2.192 - Hourly support Aug 21 

*SUP 2: 2.177 - Low Aug 21 

*SUP 3: 2.164 - Low Aug 18 

*SUP 4: 2.121 - Low June 26

*COMMENTARY: Modestly O/S daily studies are correcting & combined with the

Bollinger base (2.167) are key concerns for bears who are focused on tests of

2017 lows. Bulls continue to look for a close above 2.229 to ease bearish

pressure and above 2.264 to shift initial focus back to 2.289. While 2.229 caps

bears retain the advantage with below 2.164 needed to add weight to their case.

Fresh 2017 lows target 2.053-121 where 2017 lows and the 100-WMA are situated.

EUROSTOXX50 TECHS: Finding Support Ahead Of 200-DMA 

*RES 4: 3497.29 High Aug 16 

*RES 3: 3497.21 55-DMA, Bear channel top 

*RES 2: 3484.66 High Aug 17 

*RES 1: 3466.64 21-DMA

*PREVIOUS CLOSE: 3455.59

*SUP 1: 3432.46 Low Aug 22 

*SUP 2: 3412.87 Bollinger band base 

*SUP 3: 3411.06 Low Aug 21 

*SUP 4: 3395.25 200-DMA

*COMMENTARY: Support emerging ahead of the 200-DMA has seen the index recover

lost ground and focus back on the 3497.21-3539.48 region where key DMAs and the

bear channel top are situated. Bulls look for a close above 3539.48 to end

bearish hopes and initially target 3615.06 June highs. Bears now need a close

back below 3432.46 to ease pressure on key resistance layers and below 3390.04

to focus on 3355.40.

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

[TOPICS: MTABLE]