Free Trial

Price Signal Summary - Bund Futures Maintain A Softer Tone

OUTLOOK
  • In the FI space, Bund futures maintain a softer tone following the sharp move lower on Wednesday. This reinforced a bearish theme and confirmed an extension of the reversal from 135.85, the Jun 1 high. Support at 133.45 has been cleared, the May 30 low, and the focus is on 133.00, 76.4% of the May 26 - Jun 1 rally. This level has been tested, a clear break would expose key support at 132.12, the May 26 low. On the upside, initial resistance is seen at 134.13, the 20-day EMA.
  • Gilt futures are firmer today but remain below recent highs. Gains from 94.21, May 26 low, allowed an oversold condition to unwind. The move higher is considered corrective and the trend direction remains down. Moving average studies are in a bear-mode position highlighting a bear cycle. A continuation lower would open the 94.00 handle next. The bear trigger is 94.21, the May 26 low. Initial firm resistance to watch is at 97.64, the Jun 1 high.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.