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(Z3) Approaching Key Resistance

GILT TECHS
  • RES 4: 96.19 High Jul 31(cont)
  • RES 3: 95.82 High Aug 10 (cont)
  • RES 2: 95.79 High Sep 1 and key resistance
  • RES 1: 95.68 High Sep 13
  • PRICE: 95.45 @ Close Sep 13
  • SUP 1: 94.46 20-day EMA
  • SUP 2: 94.05/93.36 Low Sep 11 / 6
  • SUP 3: 93.12 61.8 retracement of the Aug 17 - Sep 1 rally
  • SUP 4: 92.56 Low Aug 23

Gilt futures traded higher yesterday, extending the recovery from 93.36, the Sep 6 low. Key short-term resistance to watch is 95.79, the Sep 1 high. This is also a bull trigger where a break would cancel a recent bearish theme and instead highlight a stronger bullish environment. Clearance of this level would open 96.19, the Jul 31 high (cont). Initial firm support lies at 94.05, the Sep 11 low. A break would be seen as a bearish development.

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