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) Pressure Back On Key 117-170/117-132 Supports

*RES 4: 118-132 Sep 13 high

*RES 3: 118-060 Sep 13 low, now resistance

*RES 2: 118-010/020 Sep 19 high, broken 6 month support line

*RES 1: 117-295 Sep 26 high

*PRICE: 117-187 @1012GMT

*SUP 1: 117-170/180 Jul 25 low, 76.4% Fibo of 117-035/119-015

*SUP 2: 117-132/147 Jul 6 low, 61.8% Fibo of 116-155/119-015

*SUP 3: 117-020 76.4% Fibo of 116-155/119-015

*SUP 4: 116-295 Mar 17 low

*COMMENTARY* Having failed to trouble 118-010 resistance, a high of 117-295 on

Tuesday, downside pressure has resumed and on 117-170 in particular. This and

the Jul 6 low at 117-132 remain the next key support area and as such the

protection against a greater 117-020 fall. Need above that 117-295 high and then

118-010/118-020, before any respite will be forthcoming and allow for some

correction of recent losses from the month's 119-015 high.

US 10YR FUTURE TECHS: (Z17) Lower After Failure Below 126-055/126-095 Resistance

*RES 4: 126-130 Sep 13 low, now resistance

*RES 3: 126-095 Broken 6 month support line

*RES 2: 126-045/055 Sep 25, Sep 20 highs

*RES 1: 125-305 Hourly resistance

*PRICE: 125-175 @1030GMT

*SUP 1: 125-140/155 Intraday, Jul 25, Jul 26 lows

*SUP 2: 125-055 50% Fibo of 122-145/127-285

*SUP 3: 124-245/255 1% volatility band, Jul 6, Jul 7 lows

*SUP 4: 124-170 61.8% Fibo of 122-145/127-285

*COMMENTARY* An assault on 125-155 support today, has seen a low of 125-140 so

far, as downside pressure resumes following the reluctance to take on

126-055/126-095 resistance this week. Sustained move below 125-155 and the next

support of note comes from the 50% Fibo retrace level at 125-055. This currently

protecting against a deeper 124-245/124-255 fall. As a result, resistance comes

initially from 125-305 but that 126-055/126-05 region remains more important.

US 30YR FUTURE TECHS: (Z17) 155-04 Cap Sees Pressure Resume On 153-16/153-12

*RES 4: 156-19 Sep 10 low, now resistance

*RES 3: 155-26 Hourly recovery high Sep 12 

*RES 2: 155-04 Sep 25 high

*RES 1: 154-23/26 Hourly resistance

*PRICE: 153-17 @1045GMT

*SUP 1: 153-12/16 61.8% of 150-11/158-09, Sep 20 low

*SUP 2: 152-21/27 5 month support line, 1% volatility band

*SUP 3: 152-07/10 76.4% of 150-11/158-09, Aug 8, Aug 16 lows

*SUP 4: 151-10 2% volatility band

*COMMENTARY* Recovery failed to make the most of the move above 155-00, stopping

at 155-04, before once again yielding to downside pressure. This sees the

153-16/153-12 area coming back under pressure today, beneath which would open

the way to a test of the 5 month rising support line at 152-21. In the interim,

resistance from 154-23/154-26 now bars the way to that still important 155-04

level.

     US EURODOLLAR TECHS: (Z17) Key 98.495 Support Back Under Pressure Today

*RES 4: 98.635 Sep 8 high

*RES 3: 98.600/610 Aug 29 high, Sep 8 low

*RES 2: 98.585 Broken 6 month support line

*RES 1: 98.540/545 Sep 14 low, Sep 20 high

*PRICE: 98.500 @1048GMT

*SUP 1: 98.490/495 Sep 21 low, 50% Fibo of 98.335-98.655

*SUP 2: 98.470 Apr 24 low

*SUP 3: 98.455 61.8% Fibo of 98.335-98.655

*SUP 4: 98.410 76.4% Fibo of 98.335-98.655

*COMMENTARY* Failed to take advantage of the break above 98.590/98.600 earlier

in the month, a high of 98.635 before giving up ground again. This culminated in

a drop below the 6 month rising support line, which then gave the scope for a

return towards the Jul 6 low at 98.495. In the interim, nearest resistance comes

from 98.540-98.545 and then the broken support line at 98.585. Below 98.495 and

98.455 is next attraction.

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

[TOPICS: MTABLE]