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(Z0) Corrective Pullback Extends

BUND TECHS
  • RES 4: 175.23 1.000 proj of Aug 28 - Sep 9 rally from the Sep 10 low
  • RES 3: 175.08 High Aug 4 and the bull trigger
  • RES 2: 174.97 High Oct 2 and key near-term resistance
  • RES 1: 174.65 High Jun 6
  • PRICE: 174.11 @ 04:57 BST Oct 8
  • SUP 1: 173.93 Low Oct 7
  • SUP 2: 173.74 Low Sep 17
  • SUP 3: 173.61 50.0% retracement of the Aug 28 - Oct 2 high
  • SUP 4: 173.28 61.8% retracement of the Aug 28 - Oct 2 high

Bund futures traded lower yesterday trading through 174.15, Oct 6 low. The contract has yet to test 175.00 and more importantly the hurdle at 175.08, Aug 4 high. The recent move lower signals scope for a deeper pullback potentially towards 173.74, Sep 17 low. From a trend perspective, the outlook is bullish and the move lower considered a correction. Initial resistance is at 174.65, Oct 6. A break would relieve the current bearish pressure.

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