MNI European Morning FI Technical Analysis

11 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) 163.17 Support Key Today

*RES 4: 164.74 Daily Bull channel top (off Oct 25 low)

*RES 3: 163.90 Daily Bull channel top (off Sept low)

*RES 2: 163.89 Low June 1 now resistance (Cont)

*RES 1: 163.67 Highs Dec 1 & 7

*PREVIOUS CLOSE: 163.44

*SUP 1: 163.17 Low Dec 8

*SUP 2: 162.79 Hourly support Dec 5

*SUP 3: 162.64 Alternating hourly support/resistance

*SUP 4: 162.35 Daily Bull channel base (off Oct 25 low)

*COMMENTARY: Friday's dip lacked follow through with 163.17 key today as bulls

focus on the triple daily top around 163.67. A break of 163.67 targets the top

of the channel off Sept lows and then the top of the channel off Oct 25 lows.

Bears now need a close below 163.17 to ease bullish pressure and below 162.64 to

shift focus to layers of support 161.92-162.35 where the 55-DMA & a channel base

are located.

BOBL TECHS: (H18) 132.530 Support Remains Key

*RES 4: 133.108 Daily Bull channel top (Nov 30 low) 

*RES 3: 132.975 Daily Bull channel top (Oct 25 low) 

*RES 2: 132.850 Low May 30 now resistance 

*RES 1: 132.740 High Dec 7

*PREVIOUS CLOSE: 132.560

*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 dips below the 55-DMA saw bulls regain the upper

hand with a break of 132.700 shifting focus to 132.850-133.108 where bull

channel tops are situated. Bears continue to look for a close below 132.530 to

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

131.970-132.195 where a bull channel base and 55-DMA are located. The Bollinger

top (132.679) is the key concern for bulls.

SCHATZ TECHS: (H18) Bulls Now Need Close Above 112.240

*RES 4: 112.325 High Apr 18 

*RES 3: 112.270 Monthly high Sept 7 

*RES 2: 112.240 High Dec 7 

*RES 1: 112.185 Alternating support/resistance

*PREVIOUS CLOSE: 112.175

*SUP 1: 112.126 21-DMA 

*SUP 2: 112.102 55-DMA 

*SUP 3: 112.090 100-WMA 

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

*COMMENTARY: Bulls have failed to gain traction above 112.185 with the bearish

close below this level Friday easing bullish pressure. Bears continue to look

for a close below the 55-DMA to confirm immediate pressure back on the double

daily bottom at 112.025. Bulls now look for a close above 112.185 to gain

breathing room and above 112.240 to reconfirm focus on 112.270-325.

GILT TECHS: (H18) Bears Need Close Below 123.62

*RES 4: 125.21 High Sept 15 

*RES 3: 124.94 High Nov 8 

*RES 2: 124.82 Bollinger band top 

*RES 1: 124.61 Hourly resistance Dec 7

*PREVIOUS CLOSE: 124.15

*SUP 1: 123.65 55-DMA 

*SUP 2: 123.62 Low Dec 8 

*SUP 3: 123.31 Daily Bull channel base

*SUP 4: 123.12 Monthly Low Nov 30

*COMMENTARY: Having bounced from Nov monthly lows sees the contract trade

sideways 123.12-124.94. The topside failure ahead of 124.94 Wednesday has been

followed up with a dip below the 55-DMA. Bears now a close below 123.62 to

confirm a break of the 55-DMA and pressure 123.12-31 where the bull channel base

is noted. Bulls need a close above 125.21 to reconfirm a bullish bias with focus

shifting to 125.52-99 where the daily bull channel top is noted.

SHORT-STERLING TECHS: (H18) Support Layers Building

*RES 4: 99.486 200-DMA

*RES 3: 99.450 Low Sept 13 now resistance

*RES 2: 99.440 100-DMA

*RES 1: 99.426 Daily Bull channel top

*PREVIOUS CLOSE: 99.410

*SUP 1: 99.390 Lows Dec 5 & 8

*SUP 2: 99.370 Low Nov 3, 28 & 29

*SUP 3: 99.365 55-DMA

*SUP 4: 99.350 Alternating daily support/resistance

*COMMENTARY: Sideways trading 99.370-410 came to an end Friday with a break

higher although hesitation ahead of the 100-DMA is less than ideal. In saying

that, bulls now focus on 99.440-450 where the 100-DMA is situated. Support

layers are now building with bears needing a close below 99.390 to confirm a

false break higher Friday and shift focus back to 99.350-370 where the 55-DMA is

located.

EURIBOR TECHS: (M18) 100.320-325 Resistance Remains Key

*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 Highs Oct & Nov

*PREVIOUS CLOSE: 100.315

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

*SUP 2: 100.306 - 55-DMA

*SUP 3: 100.305 - Lows Dec 4 & 5

*SUP 4: 100.295 - Low Dec 1

*COMMENTARY: Despite pressure returning to the 100.320 resistance, bulls have so

far failed to produce the close above 100.325 needed to shift focus to

100.340-380 last seen in Sept/Oct 2016. Pressure has returned to Initial support

at 100.315 with bears needing a close below to ease bullish pressure and below

100.305 now to confirm a break of the 55-DMA and shift focus back to 100.294-295

where the 100-DMA is noted.

EUROSTOXX50 TECHS: 3497.29 & 3642.10 Levels Remain Key 

*RES 4: 3708.82 2017 High Nov 1 

*RES 3: 3670.47 Low Nov 6 now resistance 

*RES 2: 3642.10 Low Nov 8 now resistance 

*RES 1: 3620.01 High Nov 10

*PREVIOUS CLOSE: 3591.45

*SUP 1: 3585.68 High Dec 4 now support 

*SUP 2: 3558.50 Low Dec 7 

*SUP 3: 3547.56 Hourly resistance Dec 6 now support 

*SUP 4: 3527.65 200-DMA

*COMMENTARY: Support continued to emerge on dips back towards the 200-DMA and

weekly bull channel base (3523.17) last week although follow through remains

lacking above the 55-DMA (3598.99). Bulls need a close above 3642.10 to confirm

traction above the bear channel top (3604.09) and 55-DMA, initially targeting

2017 highs. Below 3497.29 is needed 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]