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MNI European Morning FI Technical Analysis

10 April 2018
By Kyle Shortland
Please click on this link to access MNI's daily European FI Technical Analysis
Pdf - http://tinyurl.com/nhjogts
BUND TECHS: (M18) 158.89 Support Remains Key
*RES 4: 160.98 Monthly High Dec 11
*RES 3: 160.26 Low Dec 13 now resistance
*RES 2: 160.14 Bollinger band top
*RES 1: 159.69 High Mar 28
*PREVIOUS CLOSE: 159.46
*SUP 1: 159.15 Low Apr 6
*SUP 2: 158.89 Low Apr 5
*SUP 3: 158.53 Hourly resistance Mar 22 now support
*SUP 4: 158.35 High Mar 16 now support
*COMMENTARY: Bears failed to capitalise on rejections around 159.69 last week
with the bounce and bullish close Friday seeing immediate pressure on this
level. The 159.69-160.26 resistance region is key with bulls needing a close
above to confirm a break of the channel top and initially target 160.98 Dec
highs. Bears still need a close below 158.89 to pressure the key 158.17-55
support region where the bull channel base, 21 & 55-DMAs are noted.
     BOBL TECHS: (M18) Hesitating Ahead Of Key Resistance
*RES 4: 131.482 Bollinger band top 
*RES 3: 131.450 High Jan 23 (Cont) 
*RES 2: 131.310 High Apr 3 
*RES 1: 131.237 100-WMA (Cont)
*PREVIOUS CLOSE: 131.160
*SUP 1: 131.110 Low Apr 6
*SUP 2: 131.040 Low Apr 5
*SUP 3: 130.860 Hourly resistance Mar 22 now support
*SUP 4: 130.846 100-DMA
*COMMENTARY: Fresh 3mth highs lacked follow through above the 100-WMA last
Tuesday with M18 looking a little offered and dipping Thursday. Bears now look
for a close below 131.040 to add weight to the case for a test of 130.760-849
where 21 & 100-DMAs are found. Bulls continue look for a close above 131.310 to
end bearish hopes, confirm a break of the 100-WMA and focus on 131.450-583 where
the 200-WMA is found.
     SCHATZ TECHS: (M18) 111.905 Support Now Key
*RES 4: 112.065 Monthly Low Sept 21 now resistance (Cont) 
*RES 3: 112.050 2018 High Mar 5 (Cont) 
*RES 2: 111.990 Monthly High Mar 28 
*RES 1: 111.960 High Apr 4
*PREVIOUS CLOSE: 111.920
*SUP 1: 111.905 Low Apr 9 
*SUP 2: 111.864 100-DMA 
*SUP 3: 111.855 Low Mar 15 
*SUP 4: 111.830 Low Mar 14
*COMMENTARY: Topside hesitation has taken its toll resulting in a dip below the
21-DMA (111.911). Bears now need a close below 111.905 to confirm a break of the
21-DMA and to target layers of support 111.784-111.864 where key 55 & 100-DMAs
are located. The 111.960-990 resistance region is key this week. Bulls need a
close above 111.990 to kick start bullish momentum and reconfirm focus on
112.050-065.
     GILT TECHS: (M18) 21-DMA & 122.59 Levels Key
*RES 4: 123.57 Low Dec 1 now resistance 
*RES 3: 123.48 Daily Bull channel top 
*RES 2: 123.03 High Apr 4 
*RES 1: 122.59 Low Apr 4 now resistance
*PREVIOUS CLOSE: 122.35
*SUP 1: 122.10 Low Apr 6 
*SUP 2: 121.95 21-DMA 
*SUP 3: 121.38 Daily Bull channel base off Feb low 
*SUP 4: 121.36 55-DMA
*COMMENTARY: Hesitation ahead of the daily bull channel top has taken its toll
with the contract now flirting with the 100-DMA (122.34). The 21-DMA is key
support this week with bears needing a close below to confirm focus on
120.69-121.38 where the 55-DMA and daily bull channel base are located. While
the 21-DMA supports bulls remain focused on the channel top with a close above
122.59 needed to gain breathing room.
     SHORT-STERLING TECHS: (M18) 99.120-150 Resistance Key This Week
*RES 4: 99.200 Repeated daily highs Mar
*RES 3: 99.170 High Mar 21
*RES 2: 99.150 Alternating daily support/resistance
*RES 1: 99.120 Low Mar 26 now resistance
*PREVIOUS CLOSE: 99.110
*SUP 1: 99.075 2018 Low Apr 4
*SUP 2: 99.060 Monthly Low June 23 2016
*SUP 3: 99.003 Weekly Bear channel base
*SUP 4: 98.990 Monthly Low May 31 2016
*COMMENTARY: Bulls take comfort in the correction back towards the 99.120-150
resistance region with the 21-DMA noted at 99.139. Bulls still need a close
above 99.120 gain breathing room and above 99.150 remains needed to shift focus
back to 99.200-220 where the 55-DMA (99.200) is noted. While 99.120 caps
immediate focus remains on 98.930 April 2016 monthly lows.
     EURIBOR TECHS: (Z18) 100.285 Support Remains Key
*RES 4: 100.340 - High Oct 10 2016 
*RES 3: 100.325 - High Oct 19 2016, High Dec 15 
*RES 2: 100.320 - Repeated Daily highs Dec 
*RES 1: 100.305 - 2018 High Mar 27 & 28, Apr 6 & 9
*PREVIOUS CLOSE: 100.300
*SUP 1: 100.295 - Repeated daily lows Mar, 21-DMA
*SUP 2: 100.290 - Highs Mar 13 & 14 now support
*SUP 3: 100.285 - Low Mar 15
*SUP 4: 100.273 - 55-DMA
*COMMENTARY: Continued hesitation around 2018 highs has taken its toll with the
contract continuing to dip back to initial support. In saying that, bears
continue to look for a close below 100.285 to confirm an easing of bullish
pressure. 55 & 100-DMAs are noted 100.267-273 with a close below the 100-DMA
needed to shift initial focus back to 100.250.
     US 10-YR FUTURE TECHS: (M18) 120-11 & 121-12 Levels Key This Week
*RES 4: 122-02  Monthly High Feb 6
*RES 3: 121-30+ 100-DMA
*RES 2: 121-12  High Apr 2
*RES 1: 121-05  High Apr 4
*PRICE: 120-24+ @ 0430GMT
*SUP 1: 120-23  Low Apr 9
*SUP 2: 120-17+ 55-DMA
*SUP 3: 120-16+ Low Apr 5
*SUP 4: 120-11  Low Mar 26 & 27
*COMMENTARY: Bulls take comfort from support emerging around the 21-DMA
(120-19+) last week and providing the base for a bounce Friday. The 120-11
support remains key this week. Bears still need a close below 120-11 to confirm
a break of DMAs & shift focus back to 119-14/21+. The 121-12 resistance remains
key also. Bulls need a close above this level to kick start topside momentum and
initially target 121-31+/122-02.
     US 10-YR YIELD TECHS: 2.859 Resistance Key This Week
*RES 4: 2.936 - High Feb 21 
*RES 3: 2.889 - High Mar 22 
*RES 2: 2.859 - High Mar 27 
*RES 1: 2.838 - High Apr 5
*PRICE: 2.808 @ 0430GMT
*SUP 1: 2.768 - Low Apr 6 
*SUP 2: 2.748 - Low Apr 4 
*SUP 3: 2.717 - Low Apr 2 
*SUP 4: 2.648 - Monthly Low Feb 6
*COMMENTARY: The yield continues to trade below 21 (2.817) & 55 (2.817) DMAs,
although follow through has been lacking, with bears now needing a close below
2.768 to add weight to the case for a test of 2.609-648 where the 100-DMA
(2.641) is found. The 2.859 resistance remains key this week. Bulls need a close
above to shift initial focus to tests of 2018 highs. Correcting O/S studies
remain a concern for bears.
     EUROSTOXX50 TECHS: Capped On Approach To 55-DMA
*RES 4: 3499.09 100-DMA 
*RES 3: 3476.21 High Feb 27 
*RES 2: 3448.63 High Mar 16 
*RES 1: 3438.20 55-DMA
*PREVIOUS CLOSE: 3414.85
*SUP 1: 3383.17 Alternating daily support/resistance 
*SUP 2: 3300.81 Low Apr 4 
*SUP 3: 3261.86 2018 Low Mar 26 
*SUP 4: 3252.29 High Feb 8 2017 now support
*COMMENTARY: The recovery from 2018 lows remains capped ahead of the 55-DMA.
Bulls now need a close above 3448.63 to confirm a break of the 55-DMA and above
3523.28 to shift focus to 2018 highs. Bears hold the advantage while the 55-DMA
caps but continue to look for a close below 3383.17 to return initial focus to
2018 lows.
--MNI Beijing Bureau; tel: +44 207-862-7435; email: kyle.shortland@mni-news.com
[TOPICS: MTABLE]

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