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(Z0) Bear Flag Formation Confirmed

GILT TECHS
  • RES 4: 137.31 High Aug 10
  • RES 3: 137.11 High Aug 11
  • RES 2: 136.43 High Aug 24 and key resistance
  • RES 1: 136.11 High Aug 25
  • PRICE: 135.52 @ Close Aug 25
  • SUP 1: 136.11 Low Aug 25
  • SUP 2: 133.31 0.50 proj of the Aug 4 - 13 sell-off from Aug 24 high
  • SUP 3: 135.04 0.618 proj of the Aug 4 - 13 sell-off from Aug 24 high
  • SUP 4: 134.70 0.764 proj of the Aug 4 - 13 sell-off from Aug 24 high

Gilts futures traded sharply lower yesterday and have confirmed a resumption of the downtrend that started early August. The breach of support at 135.57, Aug 13 low also confirmed a recent bearish pattern, a bear flag that highlighted a continued bearish threat. The focus is on 135.31 and 135.04 next, both Fibonacci projection levels. On the upside, key resistance is at 136.43, Aug 24 high.

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