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(U2) Southbound

GILT TECHS
  • RES 4: 117.49 High May 31
  • RES 3: 116.20 High Jun 1
  • RES 2: 115.55 High Jun 6 and key near-term resistance
  • RES 1: 113.01/114.86 Intraday high / High Jun 9
  • PRICE: 112.32 @ Close Jun 13
  • SUP 1: 111.98 Low Jun 13
  • SUP 2: 111.81 3.382 proj of the May 19 - 24 - 26 price swing
  • SUP 3: 111.58 3.50 proj of the May 19 - 24 - 26 price swing3.5
  • SUP 4: 111.35 3.618 proj of the May 19 - 24 - 26 price swing

Gilt futures traded lower again Monday and remain bearish. The move down last week confirmed a resumption of the downtrend and an extension of the latest bear leg that began May 19. This also maintains a bearish price sequence of lower lows and lower highs. Price has cleared 115.00 and the focus is on 111.81 next, a Fibonacci projection. Initial firm resistance is seen at 115.55, the Jun 6 high. Short-term gains would be considered corrective.

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