MNI European Morning FI Technical Analysis

19 October 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: (Z17) Double Daily Top Prompts Correction

*RES 4: 163.00 Daily Bull channel top

*RES 3: 162.89 Low Sept 11 now resistance

*RES 2: 162.78 High Oct 17

*RES 1: 162.48 Hourly support Oct 17 now resistance

*PREVIOUS CLOSE: 162.22

*SUP 1: 162.13 Low Oct 18

*SUP 2: 161.85 Hourly resistance Oct 13 now support

*SUP 3: 161.58 55-DMA 

*SUP 4: 161.48 21-DMA

*COMMENTARY: A double daily top has been left in place and combined with daily

studies looking to correct from O/B hints at a correction initially targeting

161.48-58 where the 21 & 55-DMS are situated. Overall bears need a close below

the 21-DMA to confirm pressure on 160.94-161.07 where the daily bull channel

base and 100-DMA are situated. Bulls now look for a close above 162.89 to

reconfirm the bullish bias and target 163.43.

BOBL TECHS: (Z17) Correcting Back to 21 & 55-DMAs

*RES 4: 131.98 Monthly High Sept 8 

*RES 3: 131.83 High Sept 11 

*RES 2: 131.76 High Oct 17 

*RES 1: 131.63 Hourly support Oct 18 now resistance

*PREVIOUS CLOSE: 131.49

*SUP 1: 131.44 Hourly support Oct 13

*SUP 2: 131.37 Hourly resistance Oct 13 now support

*SUP 3: 131.32 55-DMA

*SUP 4: 131.25 Hourly support Oct 12

*COMMENTARY: The lack of topside follow through Tuesday resulted in a sell-off

that eased immediate bullish pressure and hints at a correction initially

targeting 21 & 55-DMAs. Below the 55-DMA shifts immediate focus to 130.90-131.13

with the 100-DMA at 131.06. Bulls now need a close above 131.63 to gain

breathing room and above 131.83 to confirm immediate focus on 131.98 Sept highs

and the 132.065-112 region where 55 & 100-WMAs are noted.

SCHATZ TECHS: (Z17) Pressuring Key Supports

*RES 4: 112.285 Monthly high Sept 8 

*RES 3: 112.252 Daily Bull channel top 

*RES 2: 112.250 Low Sept 8 & 11 now resistance 

*RES 1: 112.215 Alternating support/resistance

*PREVIOUS CLOSE: 112.200

*SUP 1: 112.185 High Oct 10 now support 

*SUP 2: 112.170 Hourly resistance Oct 12 now support 

*SUP 3: 112.159 21-DMA 

*SUP 4: 112.131 55-DMA

*COMMENTARY: Hesitation around the daily bull channel top has resulted in a

correction back towards the 112.185 support. Bears continue to look for a close

below 112.185 to shift focus to 112.105-159 where key DMAs are located. Overall

below 112.065 is needed to open up for a move back to 111.945-112.015. Bulls now

need a close above 112.215 to gain breathing room and above 112.250 to reconfirm

the bullish bias and above 112.285 to target 112.360.

GILT TECHS: (Z17) 124.34 Support Key Today

*RES 4: 125.56 55-DMA 

*RES 3: 125.22 100-WMA 

*RES 2: 124.99 High Oct 18 

*RES 1: 124.74 Hourly support Oct 18 now resistance

*PREVIOUS CLOSE: 124.50

*SUP 1: 124.34 Hourly resistance Oct 17 now support 

*SUP 2: 124.02 Low Oct 17 

*SUP 3: 123.97 21-DMA 

*SUP 4: 123.86 Hourly resistance Oct 16 now support

*COMMENTARY: The topside break has lacked follow through with gains given back

Wednesday leaving the contract looking heavy and pressuring 124.34. Bears

continue to look for a close below this level to confirm an easing of bullish

pressure and below 123.86 to shift focus back to 123.12-32. Bulls look for a

close above 124.74 to gain breathing room and above the 100-WMA to pressure 55 &

100 (125.73) DMAs.

SHORT-STERLING TECHS: (H18) 99.360 Remains Key Resistance

*RES 4: 99.410 High Sept 15

*RES 3: 99.390 Monthly Lows June 30 now resistance

*RES 2: 99.360 Highs Sept 18 & 19

*RES 1: 99.350 High Oct 17

*PREVIOUS CLOSE: 99.340

*SUP 1: 99.330 Low Oct 18

*SUP 2: 99.320 Hourly resistance Oct 17 now support

*SUP 3: 99.300 2017 Low Oct 17

*SUP 4: 99.230 High June 21 2016 now support

*COMMENTARY: The recovery from fresh 2017 and 16mth lows resulted in a bullish

key day reversal Tuesday. Bulls still need a close above 99.360 to ease bearish

pressure with a close above 99.410 remaining needed to shift focus to 99.466-520

where 55, 100 & 200-DMAs are clustered. Bollinger bands remain very narrowed and

increase the likelihood of a break out in the near future. Bears need a close

below 99.300 to focus on 99.040-230.

EURIBOR TECHS: (H18) 100.300-305 Support Region Key

*RES 4: 100.360 - High Oct 6 

*RES 3: 100.330 - High Oct 19 

*RES 2: 100.325 - 2017 High Sept 5-8 

*RES 1: 100.320 - Repeated Daily highs

*PREVIOUS CLOSE: 100.315

*SUP 1: 100.315 - Repeated daily highs Sept & Oct now support

*SUP 2: 100.305 - Repeated Daily Lows Oct

*SUP 3: 100.300 - Alternating daily support/resistance

*SUP 4: 100.296 - 100-DMA

*COMMENTARY: Support at 100.305 provided the base for a break of 100.315 with

bulls focused on 100.320-325 where 2017 highs are situated. Overall a close

above 100.330 is needed to target 100.360. Bears now need a close below 100.305

to confirm an easing of bullish pressure and below 100.300 to initially pressure

the 100-DMA (100.295) and daily bull channel base (100.294).

US 10-YR FUTURE TECHS: (Z17) Below 124-310 Targets 124-140/225

*RES 4: 125-29+ 100-DMA 

*RES 3: 125-25+ High Oct 13 

*RES 2: 125-16+ Hourly support Oct 16 now resistance 

*RES 1: 125-06  Hourly resistance Oct 18

*PRICE: 125-03 @ 0430GMT

*SUP 1: 125-01+ Low Oct 17

*SUP 2: 124-31  Hourly support Oct 9

*SUP 3: 124-27  Bollinger band base

*SUP 4: 124-22+ Low Oct 6

*COMMENTARY: The failure to trouble 100 & 55-DMAs has left the contract looking

heavy with bears now looking for a close below 124-31 to confirm focus on

124-14/22+ where July lows are situated. Layers of resistance are following the

contract lower and weighing with daily studies well placed for losses. Bulls

need a close above 125-16+ to ease bearish pressure and return focus to

125-25+/126-09 where 55 & 100-DMAs are situated.

US 10-YR YIELD TECHS: Focus Returns To 2.371-437

*RES 4: 2.423 - Monthly High Aug May 11 

*RES 3: 2.402 - High Oct 6 

*RES 2: 2.372 - Hourly resistance Oct 6 

*RES 1: 2.355 - Hourly resistance Oct 11

*PRICE: 2.345 @ 0430GMT

*SUP 1: 2.325 - Hourly support Oct 18 

*SUP 2: 2.296 - Low Oct 17 

*SUP 3: 2.278 - Low Oct 16 

*SUP 4: 2.245 - High Sept 26 now support

*COMMENTARY: The lack of follow through on Friday's close below 21 (2.310) & 200

(2.313) DMAs has seen higher daily lows with pressure resulting in a close above

2.334 and focus now having returned to the 2.372-437 region. Above 2.437 remains

needed to shift initial focus to 2.544-558 and overall focus to 2017 highs

(2.628). Bears now look for a close below 2.325 to gain breathing room and below

2.278 to shift focus back to 2.208-245.

EUROSTOXX50 TECHS: Bears Need Close Below 3607.21

*RES 4: 3686.70 Daily Bull channel 

*RES 3: 3666.80 2017 High May 8 

*RES 2: 3645.99 Bollinger band top 

*RES 1: 3625.87 High Oct 18

*PREVIOUS CLOSE: 3619.65

*SUP 1: 3607.21 Low Oct 18 

*SUP 2: 3598.12 Low Oct 17 

*SUP 3: 3589.98 Low Oct 10 

*SUP 4: 3582.07 Hourly resistance Sept 29 now support

*COMMENTARY: Topside follow through remains lacking following continued 5mth

highs. Initial support is now noted at 3607.21 with bears needing a close below

to ease immediate bullish pressure and see the index pressure the

3582.07-3586-15 region where the daily bull channel base and 21-DMA are

situated. Overall below 3582.07 hints at a move back to 3506.61-3529.19 where 55

& 100-DMAs are noted. While 3582.07 supports bulls target 2017 highs.

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

[TOPICS: MTABLE]