MNI US Morning FI Technical Analysis

29 December 2017

By Kyle Shortland

Click below for today's MNI US Morning FI Technical Analysis Report -

http://tinyurl.com/h8pyhnq

US 5-YR FUTURE TECHS: (H18) 21-DMA Resistance Remains Key

*RES 4: 116-13+ High Dec 15

*RES 3: 116-07+ 21-DMA

*RES 2: 116-06+ Low Dec 18 now resistance

*RES 1: 116-05 High Dec 27

*PRICE: 116-03+ @ 1030GMT

*SUP 1: 116-00+ Low Dec 28

*SUP 2: 115-31 High Dec 26 now support

*SUP 3: 115-28+ Hourly resistance Dec 26 now support

*SUP 4: 115-27 Low Dec 26

*COMMENTARY: Fresh 7yr lows Tuesday lacked follow through with the aggressive

rally and bullish close Wednesday that sees focus back on 116-06+/08. Bulls need

a close above the 21-DMA to shift immediate focus to 116-13+ and overall focus

to 116-17+/22+. Bears look for a close below 115-31 to signal a false break

higher and below 115-27 to target the weekly bear channel base (115-12+).

US 10-YR FUTURE TECHS: (H18) Bears Need Close Below 123-21+

*RES 4: 124-23  High Dec 6

*RES 3: 124-18+ Daily Bear channel top

*RES 2: 124-14+ 55-DMA

*RES 1: 124-02+ 21-DMA

*PRICE: 123-29 @ 1030GMT

*SUP 1: 123-21+ High Dec 27 now support

*SUP 2: 123-12+ Low Dec 21

*SUP 3: 123-07+ High Mar 13 now support

*SUP 4: 123-00+ Daily Bear channel base

*COMMENTARY: Bulls took comfort in the bounce Wednesday that saw bearish

pressure eased and focus return to layers of resistance 124-02+/23 where 21 &

55-DMAs and the bear channel top are situated. Bulls need a close above 124-23

to hint at a move back to 125-25+. The 123-21+ support remains key. Bears need a

close below this level to reconfirm dominance and return pressure to 123-00+/12+

where the bear channel base is noted.

US 30-YR FUTURE TECHS: (H18) Focus Back On Dec Highs

*RES 4: 154-18 High Dec 6

*RES 3: 153-31 Daily Bear Channel top (Off Sept high)

*RES 2: 153-22 Low Dec 15 now resistance

*RES 1: 153-04 High Dec 27

*PRICE: 152-26 @ 1030GMT

*SUP 1: 152-10 55-DMA

*SUP 2: 151-28 High Dec 20 now support

*SUP 3: 151-08 Highs Dec 21 & 22 now support

*SUP 4: 150-14 Lows Dec 21 & 22

*COMMENTARY: Correcting O/S daily studies provided the impetus for the

correction from Dec lows so far with closes above key DMAs seeing bulls back in

charge and focus on 153-31/154-18 where Dec highs and the bear channel top are

situated. Daily studies are well placed for gains, correcting from modestly O/S.

Bears now need a close below 151-28 to shift initial focus back to 150-14.

US EURODOLLAR TECHS: (H18) Flirting With 21-DMA

*RES 4: 98.288 55-DMA

*RES 3: 98.280 High Dec 1

*RES 2: 98.255 High Dec 6

*RES 1: 98.252 Daily Bear channel top

*PRICE: 98.235 @ 1030GMT

*SUP 1: 98.230 Low Dec 28

*SUP 2: 98.215 Repeated Daily highs now support

*SUP 3: 98.205 2017 Lows Dec

*SUP 4: 98.200 Monthly Low Mar 15

*COMMENTARY: The correction higher Wednesday sees the contract flirting with the

21-DMA (98.232) with a close above needed to confirm an easing of bearish

pressure and to target the 55-DMA. Daily studies are well placed for further

gains. Bears still need a close below 98.215 to reconfirm focus on 98.181-205

where the bear channel base and 2017 lows are noted.

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

[TOPICS: MTABLE]