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(Z0) Looking For An Extension Higher

GILT TECHS
  • RES 4: 136.74 Low Aug 10
  • RES 3: 136.53 61.8% retracement of the Aug 4 - 28 decline
  • RES 2: 136.43 Aug 24 high
  • RES 1: 136.13 High Sep 3 and the bull trigger
  • PRICE: 135.79 @ Close Sep 7
  • SUP 1: 135.31 Low Sep 7
  • SUP 2: 135.32 Low Sep 2
  • SUP 3: 134.32 Low Aug 28
  • SUP 4: 134.11 1.000 proj of the Aug 4 - 13 sell-off from Aug 24 high

Gilts maintain a positive tone following last week sharp gains off the Aug 28 low, reversing an equally sharp sell-off between Aug 4 - 28. On Sep 2, the contract traded through trendline resistance at 135.86, drawn off the Aug 4 high, confirming a bullish shift in market sentiment. Continued follow through would open 136.43, Aug 24 high and 136.53, a Fibonacci retracement. Initial support is at 135.31, yesterday's low.

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