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(Z0) Recovery Extends

GILTS
  • RES 4: 137.04 High Sep 21 and a key resistance
  • RES 3: 136.97 High Oct 16 and the bull trigger
  • RES 2: 136.38 Low Oct 20 and a gap high on the daily chart
  • RES 1: 136.33 High Oct 28
  • PRICE: 136.19 @ Close Oct 28
  • SUP 1: 136.07 Low Oct 28
  • SUP 2: 135.34 Low Oct 27
  • SUP 3: 135.04 Low Oct 23 and the near-term bear trigger
  • SUP 4: 134.59 Low Sep 1

Strong gains Tuesday in Gilt futures provided early evidence of a reversal. The climb has extended the recovery off 135.04, Oct 23 low and a key S/T support and yesterday futures edge higher trading above 136.27, Oct 21 high and a gap low on the daily chart. Attention is on 136.38 next, Oct 20 where a print would fill the recent gap. This would also expose key resistance at 136.97, Oct 16 high. Firm support lies at 135.34, Oct 27 low.

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