MNI European Morning FI Technical Analysis

7 December 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: (H18) Double Daily Top In Play

*RES 4: 164.61 Daily Bull channel top (off Oct 25 Low)

*RES 3: 163.89 Low June 1 now resistance (Cont)

*RES 2: 163.85 Daily Bull channel top (off Sept Low)

*RES 1: 163.67 High Dec 1

*PREVIOUS CLOSE: 163.43

*SUP 1: 163.18 Hourly resistance Dec 5 now support

*SUP 2: 162.79 Hourly support Dec 5

*SUP 3: 162.64 Alternating hourly support/resistance

*SUP 4: 162.20 Hourly support Nov 30

*COMMENTARY: Wednesday's topside failure around last week's high leaves a double

daily top in play. The Bollinger top (163.58) is a concern for bulls and

currently limits follow through. Bears now need a close below 163.18 to ease

bullish pressure and below 162.64 to shift focus to layers of support 161.49-93

where the 55-DMA is located. Bulls need a close above 163.67 to reconfirm a

bullish bias and shift overall focus to the MT bull channel top (164.61).

BOBL TECHS: (H18) Above 132.70 Targets Bull Channel Top

*RES 4: 132.951 Daily Bull channel top 

*RES 3: 132.850 Low May 30 now resistance 

*RES 2: 132.700 Monthly High Nov 8 

*RES 1: 132.633 Bollinger band top

*PREVIOUS CLOSE: 132.630

*SUP 1: 132.530 Low Dec 6

*SUP 2: 132.430 Hourly resistance Dec 5 now support

*SUP 3: 132.340 Hourly support Dec 5

*SUP 4: 132.250 Low Dec 4

*COMMENTARY: The recovery from last week's dips below the 55-DMA have seen bulls

regain the upper hand and pressure back on 132.700 where Nov highs are situated.

Layers of support are accumulating with bears needing a close below 132.530 to

ease immediate bullish pressure and below 132.250 to shift focus back to

131.970-132.157 where the bull channel base and 55-DMA are located. Bulls look

for a close above 132.700 to target the bull channel top.

SCHATZ TECHS: (H18) Focus On 112.270-325

*RES 4: 112.455 Monthly High Mar 1 

*RES 3: 112.410 High Mar 7 

*RES 2: 112.325 High Apr 18 

*RES 1: 112.270 Monthly high Sept 7

*PREVIOUS CLOSE: 112.205

*SUP 1: 112.185 Monthly High Nov 8 now support 

*SUP 2: 112.122 21-DMA 

*SUP 3: 112.095 55-DMA 

*SUP 4: 112.025 Monthly Lows Oct 26 & Nov 30

*COMMENTARY: 112.025-185 sideways trading that defined November came to an end

Wednesday with a close above 112.185 that shifts focus to 112.270-325. The

Bollinger top (112.197) is the key concern for bulls with potential to limit

follow through. Bears now need a close below 112.185 to ease bullish pressure

and below the 55-DMA to see pressure back on the 112.025 support.

GILT TECHS: (H18) 124.94-125.21 Resistance Region Key

*RES 4: 125.47 Daily Bull channel top 

*RES 3: 125.21 High Sept 15 

*RES 2: 124.94 High Nov 8 

*RES 1: 124.88 Bollinger band top

*PREVIOUS CLOSE: 124.67

*SUP 1: 124.47 Low Dec 6 

*SUP 2: 124.17 Hourly support Dec 5 

*SUP 3: 123.77 Hourly support Dec 1 

*SUP 4: 123.64 High Nov 30 now support

*COMMENTARY: Having bounced from last week's monthly lows sees the contract

trade sideways confined to a 123.12-124.94 range. Bulls take comfort in support

emerging on dips Wednesday with pressure remaining on recent range highs. Bulls

now look for a close above 125.21 to reconfirm a bullish bias with focus

shifting to 125.47-99 where the daily bull channel top is noted. The Bollinger

top is the key concern for bulls with potential to limit follow through.

SHORT-STERLING TECHS: (H18) 99.350 & 99.410 Levels Remain Key

*RES 4: 99.450 Low Sept 13 now resistance

*RES 3: 99.441 100-DMA

*RES 2: 99.410 High Sept 15 & Nov 22-27 & Dec 4

*RES 1: 99.407 Bollinger band top

*PREVIOUS CLOSE: 99.400

*SUP 1: 99.370 Low Nov 3, 28 & 29

*SUP 2: 99.362 55-DMA

*SUP 3: 99.350 Alternating daily support/resistance

*SUP 4: 99.310 Low Nov 1

*COMMENTARY: The contract continues to trade sideways confined to a 99.370-410

range. Bulls continue to look for a close above 99.410 to reconfirm a bullish

bias with initial focus shifting to 99.441-487 where 100 & 200-DMAs are noted.

The 99.350-370 support region remains key. Bears need a close below 99.350 to

confirm a break of the 55-DMA and initially target 99.300-310 where monthly lows

are situated.

EURIBOR TECHS: (M18) Pressuring Key Resistance

*RES 4: 100.380 - Low Sept 27 2016 now resistance 

*RES 3: 100.340 - High Oct 10 2016 

*RES 2: 100.325 - High Oct 19 2016 

*RES 1: 100.320 - Monthly High Oct

*PREVIOUS CLOSE: 100.320

*SUP 1: 100.315 - Repeated daily highs Nov now support

*SUP 2: 100.305 - 55-DMA

*SUP 3: 100.295 - Low Dec 1

*SUP 4: 100.294 - 100-DMA

*COMMENTARY: Having recently found support ahead of the 55-DMA bulls take

comfort in pressure returning to the 100.320-325 resistance region. Bulls now

need a close above 100.325 to shift focus to 100.340-380 last seen in Sept/Oct

2016. Initial support is noted at 100.315 with bears needing a close below to

ease bullish pressure and below the 55-DMA to shift focus back to 100.294-295

where the 100-DMA is noted.

US 10-YR FUTURE TECHS: (H18) Layers of Resistance 124-25+/125-00

*RES 4: 125-06+ Monthly high Nov 8 

*RES 3: 125-00 High Nov 28 

*RES 2: 124-26+ Daily Bear channel top 

*RES 1: 124-24+ 55-DMA

*PRICE: 124-16+ @ 0530GMT

*SUP 1: 124-12+ High Dec 5

*SUP 2: 124-09+ Low Dec 6

*SUP 3: 124-02+ Low Dec 5

*SUP 4: 123-29+ Monthly Low Nov 30

*COMMENTARY: Hesitation ahead of the 123-27/29+ region has seen pressure return

to layers of resistance 124-24+/125-00 where the bear channel top and 55-DMA are

noted. Bulls need a close above 125-00 to shift immediate focus to 125-06+/14+

and overall focus to 125-25+. The 124-09+/12+ support region is key today. Bears

look for a close below 124-09+ to shift focus back to 123-27/29+.

US 10-YR YIELD TECHS: Below 2.273 To Target 2.171-185

*RES 4: 2.437 - High Nov 30 

*RES 3: 2.424 - High Dec 1 

*RES 2: 2.395 - High Dec 5 

*RES 1: 2.363 - High Dec 6

*PRICE: 2.344 @ 0530GMT

*SUP 1: 2.303 - 200-DMA 

*SUP 2: 2.283 - 100-DMA, 21-WMA 

*SUP 3: 2.273 - Monthly Low Oct 13 

*SUP 4: 2.245 - High Sept 26 now support

*COMMENTARY: Failure ahead of last week's high left the yield looking heavy and

focus back on layers of support. Bears continue to look for a close below 2.273

to end bullish hopes and shift initial focus back to 2.171-185 where the 200-WMA

is noted. Bulls now need a close above Wednesday's high to ease bearish pressure

and above 2.437 to initially target 2.477 Oct highs.

EUROSTOXX50 TECHS: Remains Supported Ahead Of 200-DMA 

*RES 4: 3642.10 Low Nov 8 now resistance 

*RES 3: 3620.01 High Nov 10 

*RES 2: 3597.47 55-DMA 

*RES 1: 3585.68 High Dec 4

*PREVIOUS CLOSE: 3561.57

*SUP 1: 3547.56 Hourly resistance Dec 6 now support 

*SUP 2: 3525.38 200-DMA 

*SUP 3: 3519.35 Low Nov 15 

*SUP 4: 3515.57 Weekly Bull channel base (Off July 2016 low)

*COMMENTARY: Despite having looked heavy Wednesday, support continues to emerge

on dips back towards the 200-DMA. Bulls continue to look for a close above

3642.10 to confirm traction above the bear channel top (3611.63) and 55-DMA,

initially targeting 2017 highs. Bears now need a close below 3497.29 to confirm

a break of the 200-DMA and the weekly bull channel base, with below 3467.78 to

target 3363.68-3397.27.

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

[TOPICS: MTABLE]