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(Z0) Pullbacks Considered Corrective

GILT TECHS
  • RES 4: 137-51 High Aug 6
  • RES 3: 137.31 High Aug 10
  • RES 2: 137.05 76.4% retracement of the Aug 4 - 28 decline
  • RES 1: 136.86 High Sep 14
  • PRICE: 136.14 @ Close Sep 16
  • SUP 1: 135.70 Low Sep 10 and key near-term support
  • SUP 2: 135.31 Low Sep 7
  • SUP 3: 135.32 Low Sep 2
  • SUP 4: 134.32 Low Aug 28 and major support

Gilts pushed higher Monday and registered a print above resistance at 136.78, Sep 9 high before finding resistance. Despite this week's pullback, the outlook remains bullish. Strong support has been defined at 135.70, Sep 10 low. Attention is on further gains with the focus on 137.05, a Fibonacci retracement. On the downside, key near-term support is at 135.70, weakness below this level would instead highlight a potential bearish threat.

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