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(U3) Bearish Threat

BUND TECHS
  • RES 4: 135.61 High Jun 2
  • RES 3: 135.00 High Jun 27 and key resistance
  • RES 2: 134.88 High Jul 19
  • RES 1: 133.09/134.01 20-day EMA / High Jul 24
  • PRICE: 132.61 @ 05:09 BST Jul 31
  • SUP 1: 131.81 Low Jul 28
  • SUP 2: 131.61 76.4% retracement of the Jul 10 - 19 rally
  • SUP 3: 130.99 Low Jul 12
  • SUP 4: 130.60 Low Jul 10 and a key support

Bund futures traded in a volatile manner late last week and the contract is trading closer to its recent lows. Price has breached 132.23, 61.8% of the Jul 10 - 19 rally. This undermines the recent bullish theme and signals scope for a continuation lower. The focus is on 131.61, the 76.4% retracement. Further out, key support is at 130.60, the Jul 10 low. Initial firm resistance is at 134.01, the Jul 24 high. A break would be bullish.

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