MNI US Morning Fixed Income Technical Analysis

By Les Castell

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

http://tinyurl.com/h8pyhnq

US 5YR FUTURE TECHS: (U17) Rally Continues, June High Next On The Agenda

*RES 4: 119-030 Median line drawn off Mar & May lows

*RES 3: 118-310/320 Apr 17, May 18 highs

*RES 2: 118-247 Jun 14 high

*RES 1: 118-220 Aug 11 high

*PRICE: 118-165 @1045GMT

*SUP 1: 118-117/137 Hourly support

*SUP 2: 118-085/090 Aug 10 low, Aug 7 high

*SUP 3: 118-067 7 week rising support line

*SUP 4: 118-035 Aug 4 low

*COMMENTARY* The move back above 118-157 on Friday removed the immediate threat

of Wednesday's 'shooting star' candle close. A high of 118-220 seen so far, as

we make our way back towards the Jun 14 high at 118-247. Support rises again,

118-137/118-117 initially, 118-085/118-090 still below. Not unless we lose the 7

week rising support line, at 118-067 by time today, will some indecision come

into play. Above 118-247 and look to 118-310/118-320 next.

US 10YR FUTURE TECHS: (U17) Rally Still Supported By 13 Day Rising Support Line

*RES 4: 127-165 1% volatility band

*RES 3: 127-080 Jun 14 high

*RES 2: 126-280/290 Aug 11, Jun 26 highs

*RES 1: 126-250 Hourly resistance

*PRICE: 126-180 @1050GMT

*SUP 1: 126-105/110 Hourly support

*SUP 2: 126-060 Aug 10 low

*SUP 3: 126-030 13 day rising support line

*SUP 4: 125-290 Aug 4, Aug 8 lows

*COMMENTARY* Again here, the move back above 126-185 on Friday has removed the

near term threat from Wednesday's 'shooting star' candle close. In fact the

subsequent rise has  broken above the key 76.4% Fibo retrace level at 126-215. A

high of 126-280, as we close in on the Jun 26 high at 126-290. Support comes

initially from 126-110/126-060, the 13 day rising support line at 126-030 below.

Above 126-290 and the Jun 14 peak at 127-080 next.

US 30YR FUTURE TECHS: (U17) Rally Falters At The 76.4% Fibo Retrace Level

*RES 4: 157-08 Jun 26 high

*RES 3: 156-23 Jun 22 high

*RES 2: 156-05 1% volatility band

*RES 1: 155-29 76.4% Fibo of 157-08/151-18, Aug 11 high 

*PRICE: 154-29 @1100GMT

*SUP 1: 154-23 Aug 11 low

*SUP 2: 154-03/13 Hourly support, Aug 10 low

*SUP 3: 153-16/17 Jul 31 high, Aug 2, Aug 8 lows

*SUP 4: 152-24/29 Congestion area Jul 28-Aug 1

*COMMENTARY* The rally found fresh impetus on Friday for a break above the

previously troublesome 155-10 level. Has yet however, to extend the rise through

the 76.4% Fibo retrace level at 155-29, with the upper 1% volatility band at the

slightly higher 156-05 level. As a consequence, nearest support now comes in at

154-23, ahead of the 154-03/154-13 area. Would anticipate these to hold any

setbacks now, if the recovery is to continue.

     US EURODOLLAR TECHS: (Z17) Edges Higher Through 98.560-98.565 Resistance

*RES 4: 98.655 May 18 high

*RES 3: 98.630 Jun 14 high

*RES 2: 98.610 Jun 6 high

*RES 1: 98.580/590 Jul 14, Jun 16 highs

*PRICE: 98.565 @1108GMT

*SUP 1: 98.535/545 Hourly support

*SUP 2: 98.515 Initial recovery high Jul 6, now support

*SUP 3: 98.495 Jul 6 low, 50% of 98.335-98.655

*SUP 4: 98.470 Apr 23 low

*COMMENTARY* Finally some near term movement as we rally back above

98.560-98.565 resistance. Now looking to see if this bounce has the impetus to

trouble the next 98.580-98.590 area. Through the latter needed before we reach

more important levels between 98.610-98.630. As a result, nearest support has

risen to 98.535-98.545, with the 98.515 level still seen as key on the downside.

--MNI London Bureau;tel: +44 207-862-7495; email: les.castell@marketnews.com

[TOPICS: MTABLE]