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(U2) Bearish Retracement Extends

BUND TECHS
  • RES 4: 159.79 High Apr 4 (cont)
  • RES 3: 158.33/159.70 High Aug 3 / 2 and the bull trigger
  • RES 2: 157.74 High Aug 10
  • RES 1: 155.96/156.88 High Aug 17 / 15
  • PRICE: 154.37 @ 05:12 BST Aug 18
  • SUP 1: 153.85/83 50-day EMA / Low Aug 17
  • SUP 2: 152.43 38.2% retracement of the Jun 16 - Aug 2 rally
  • SUP 3: 149.69 Low Jul 21 and key short-term support
  • SUP 4: 148.24 Low Jul 1

Bund futures traded lower Wednesday, extending the pullback from the Aug 2 high of 159.70. Attention is on the 50-day EMA which intersects at 153.85. This is a key support area and a clear break would strengthen bearish conditions and signal scope for a deeper pullback. This would open 152.43 next, a Fibonacci retracement. On the upside, initial firm resistance is at 156.88, Aug 15 high.

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