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(U0) Bearish Focus

GILT TECHS
  • RES 4: 138.13 High Aug 11
  • RES 3: 137.59 20-day EMA
  • RES 2: 137.43 50-day EMA
  • RES 1: 137.40 High Aug 19
  • PRICE: 136.98 @ Close Aug 20
  • SUP 1: 136.54/53 Low Aug 13 / 61.8 % of the Jun - Aug rally
  • SUP 2: 136.48 Low Jun 19
  • SUP 3: 135.97 76.4% retracement of the Jun - Aug rally
  • SUP 4: 135.55 200-dma (cont)

Gilts found resistance Wednesday at 137.40. Recent gains have likely been a correction with a bearish theme still seen dominating near-term. Recent activity has seen price action clear 136.95, Jul 1 low, reinforcing the current downward cycle. The focus is on 136.53, a Fibonacci retracement and 136.48, low Jun 19. Clearance of this zone would open 135.97. Initial resistance is at 137.40/45.

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