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: (Z17) Pulling Back After Test Toward 50% Fibo Retrace Level

*RES 4: 119-220 50% 121-215/116-155, 61.8% 122-285/116-155

*RES 3: 119-052 50% 8 week bull channel top

*RES 2: 119-015/025 Sep 8 high, 50% Fibo of 121-215/116-155

*RES 1: 118-280/300 Hourly resistance

*PRICE: 118-232 @1002GMT

*SUP 1: 118-192/195 Intraday, Sep 6 lows

*SUP 2: 118-135 Sep 5 low

*SUP 3: 118-120 9 week rising support line

*SUP 4: 118-095 Sep 1 low

*COMMENTARY* Still basically trading within the 8 week bull channel, a high of

119-015 so far, as we now move above the Apr & May highs between

118-310/118-320. The channel top and the 50% Fibo retrace level are in the

slightly higher 119-020/119-052 region today. As a result, support now comes

initially from 118-195/118-192, although the lower 118-135/118-120 area

currently provides a stronger back up below. Loss here would caution.

US 10YR FUTURE TECHS: (Z17) Channel Top Caps Rally For Time Being

*RES 4: 128-105 50% Fibo of 134-070/122-145

*RES 3: 127-285/300 Sep 8 high, 9 week bull channel top

*RES 2: 127-230 Sep 7 high

*RES 1: 127-175 Hourly recovery high Sep 8

*PRICE: 127-090 @1026GMT

*SUP 1: 127-055 Hourly support

*SUP 2: 127-020 Sep 6 low

*SUP 3: 126-300/305 Initial high Sep 5, Sep 3 high, now suppt

*SUP 4: 126-235 9 week bull channel base

*COMMENTARY* Rally reached 127-285 on Friday, basically in line with a test to

the bull channel top, which has risen by time today to 127-300. Has subsequently

fallen back into the channel, now looking at support from between 127-055 and

the Sep 6 low at 127-020. These currently protect against a deeper fall towards

126-300 and then the base of the channel at 126-235. Resistance 127-175 but back

above 127-230 needed for respite.

US 30YR FUTURE TECHS: (Z17) Correcting The Month's Gains From 154-30

*RES 4: 158-26 8 month resistance line

*RES 3: 158-15 1% volatility band

*RES 2: 158-09 Sep 8 high

*RES 1: 157-20/28 Hourly resistance

*PRICE: 156-27 @1035GMT

*SUP 1: 156-19 Hourly support, 

*SUP 2: 156-07 Sep 6 low

*SUP 3: 155-21/23 Initial rally high Sep 5, Sep 3 high

*SUP 4: 154-30 Sep 1 low

*COMMENTARY* A high of 158-09 on Friday, just below the upper 1% volatility band

at the slightly higher 158-15 level and the 8 month resistance line at 158-25.

The subsequent fall initially corrects gains from the Sep 1 low at 154-30, with

initial support from between 156-19/156-07. Loss of the latter would caution

now, leaving the 155-23/155-21 area to protect that 154-30 low and potentially

lower. Back above 157-20/157-28 needed for respite.

     US EURODOLLAR TECHS: (Z17) Rally Eyes Return To The May 18 High At 98.655

*RES 4: 98.695 38.2% Fibo of 99.270-98.335

*RES 3: 98.680 May 30 2016 low, now resistance

*RES 2: 98.655 May 18 high

*RES 1: 98.635 Sep 8 high

*PRICE: 98.615 @1037GMT

*SUP 1: 98.600 Aug 29 high, now support

*SUP 2: 98.585 Minor congestion area Aug 30-Sep 5

*SUP 3: 98.560 Aug 25 low, Aug 3-4 highs

*SUP 4: 98.545 Congestion area Jul 26-Aug 10

*COMMENTARY* After weeks of consolidation we saw a break above 98.580-98.590

resistance back on Aug 29. This has allowed some further progression and with

the subsequent move through 98.630, this brings the May 18 high at 98.655 back

into view. As a result, support also rises, the Aug 29 high at 98.600 initially,

with 98.585-98.560 currently of more significance below. A sustained break above

98.655 will then see focus return to the 98.680-98.695 region.

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

[TOPICS: MTABLE]