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XM Longs Build Ahead Of Technical Resistance

AUSSIE BONDS

We should note that proximity to technical resistance limited the rally in XM overnight, with the contract last +1.0 on the day at 98.720, after testing the multi-month/July 9 high (98.730) in overnight dealing. A break here would expose the 61.8% retracement of the move from the October '20 high to the Feb '21 low (98.810). A reminder that the declaration of a snap lockdown in Victoria outweighed the firm headline numbers that the latest labour market provided on Thursday, with the bid in U.S. Tsys no doubt feeding in. These factors resulted in a ~13K uptick in open interest on Thursday, suggesting longs were added.

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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