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(U9) Cracks to Fresh Cycle Highs *RES.....>

JGB TECHS
JGB TECHS: (U9) Cracks to Fresh Cycle Highs
*RES 3: 154.01 - Jul 28 2016 high
*RES 2: 153.74 - 3.0% Upper Bollinger Band
*RES 1: 153.63 - New Cycle High
*PRICE: 153.59 @ 16:28 BST, Jun 5
*SUP 1: 152.40 - 2% Lower Bollinger Band
*SUP 2: 152.33 - 6 March Low
*SUP 3: 151.97 - 38.2% 149.75 - 153.34
JGBs firmed materially Wednesday, with strong domestic buying following Powell's
commentary on Tuesday. Speculation that the BoJ would have to counter any
protracted JPY strength resulted in JGB futures cracking through firm resistance
at 153.34 and edging above the 2.0% upper Bollinger band in the process. Further
gains may be hard to come by from here, with the RSI now clocking in the low
70s. This suggests a pause in the rally may be forthcoming, but the outlook
won't weaken until bears take out the 50-dma support at 152.87.

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