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(U9) Corrective cycle still in play......>

GILT TECHS
GILT TECHS: (U9) Corrective cycle still in play
*RES 4: 135.34 Contract high Aug 15
*RES 3: 135.15 High Aug 20
*RES 2: 134.76 High Aug 21and key intraday resistance
*RES 1: 134.50 High Aug 23
*PRICE: 134.21 @ Close Aug 23
*SUP 1: 133.38/35 Low Aug 23 / 38.2% retracement of the Jul 12-Aug 15 rally
*SUP 2: 132.74 50.0% retracement of the Jul 12-Aug 15 rally
*SUP 3: 132.67 Low Aug 1
*SUP 4: 132.46 Trendline support drawn off the May 21 low
U9 Gilt found support Friday just ahead of the 38.2% Fibonacci level. The risk
however for an extension lower as part of a correction remains in place.
Momentum studies are in a bear mode and last weeks activity confirmed the break
of trendline support, drawn off the Jul 25 low and, a head and shoulders
reversal. A move below 133.38/35 would open 132.74, 50% of the Jul 12 - Aug 15
rally. For bullish interest to again dominate, prices need to move above 134.76.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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