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(U3) Corrective Bounce

BUND TECHS
  • RES 4: 135.00 High Jun 27 and key resistance
  • RES 3: 134.88 High Jul 19
  • RES 2: 134.01 High Jul 24
  • RES 1: 133.11 50-day EMA
  • PRICE: 132.77 @ 10:01 BST Aug 8
  • SUP 1: 131.12 Low Aug 4
  • SUP 2: 130.99 Low Jul 12
  • SUP 3: 130.60 Low Jul 10 and a key support
  • SUP 4: 130.00 Psychological round number

Bund futures have traded higher today and in the process have breached resistance at the 20-day EMA, at 132.67. The trend outlook is bearish and gains are considered corrective. The recent breach of 132.23 and 131.61, 61.8% and 76.4% of the Jul 10 - 19 rally, highlights a stronger bearish threat and signals scope for weakness towards key support at 130.60, the Jul 10 low. First resistance is at 133.11, the 50-day EMA.

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