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(U3) Corrective Cycle Still In Play

BTP TECHS
  • RES 4: 118.18 High Feb 2 (cont)
  • RES 3: 117.60 High Jun 26 and the bull trigger
  • RES 2: 116.86/117.48 High Jul 24 / 19
  • RES 1: 116.14 High Aug 2
  • PRICE: 115.51 @ Close Aug 10
  • SUP 1: 113.81 Low Aug 4
  • SUP 2: 112.95 Low Jul 11 and the bear trigger
  • SUP 3: 112.48 Low May 29
  • SUP 4: 111.78 Low May 26 and a key support

A bearish condition in BTP futures remains intact following the reversal that started Jul 19. However, recent gains threaten this theme and the contract has breached the 20-day EMA. The average intersects at 115.25. A continuation higher would expose 116.14 next, the Aug 2 high. On the downside, key short-term support has been defined at 113.81, the Aug 4 low. Clearance of this level would be seen as a bearish development.

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