Free Trial

(Z2) Bearish Outlook

BUND TECHS
  • RES 4: 142.87 High Oct 4 and a key reversal point
  • RES 3: 141.74 High Oct 5
  • RES 2: 140.39/92 50-day EMA / High Oct 28 and the bull trigger
  • RES 1: 138.04/139.95 20-day EMA / High Nov 1
  • PRICE: 136.89 @ 05:11 GMT Nov 7
  • SUP 1: 136.38 Low Nov 4
  • SUP 2: 135.65 76.4% retracement of the Oct 21 - 28 bull phase
  • SUP 3: 136.46/134.02 Low Oct 25 / 21 and the bear trigger
  • SUP 4: 133.74 0.618 proj of the Aug 2 - 12 - 15 price swing

Bund futures traded lower last week and in the process breached support at 137.57, the Oct 27 low. The break of this level undermines the recent bullish theme and signals scope for a deeper retracement near-term. This has opened 135.65, a Fibonacci retracement. Note that key support is still far off at 134.02, the Oct 21 low. On the upside, key resistance is at the 50-day EMA, at 140.39. Initial resistance is 138.05, the 20-day EMA.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.