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(U0) Bears Pause For Breath

GILT TECHS
  • RES 4: 138.13 High Aug 11
  • RES 3: 137.65 20-day EMA
  • RES 2: 137.49 50-day EMA
  • RES 1: 137.15 High Aug 13
  • PRICE: 137.03 @ Close Aug 17
  • SUP 1: 136.53 61.8 % retracement 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: 135.49 200-dma (cont)

Gilts appear set to extend their recent slide dispute the current corrective bounce. The recent sell-off has seen price action clear support at 136.95, Jul 1 low, reinforcing the current bearish cycle. Note too that price has also traded below both the 50- and 100-dmas.The focus is on 136.53, a Fibonacci retracement and 136.48, low Jun 19. Clearance of this zone would open 135.97. On the upside, 137.15 is initial resistance.

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