GILT AUCTION PREVIEW: 0.375% Oct-30 Gilt on offer at tender Thursday

• RES 4: 6812.29 2.382 proj of the Aug 20 - 28 - Sep 2 price swing 
• RES 3: 6800.00 Round number resistance 
• RES 2: 6787.63 1.382 proj of the Aug 1 - 15 - 20 price swing   
• RES 1: 6756.75 High Sep 22  
• PRICE: 6723.50 @ 07:24 BST Sep 24
• SUP 1: 6625.74 20-day EMA
• SUP 2: 6577.25 Low Sep 10 
• SUP 3: 6506.07 50-day EMA 
• SUP 4: 6417.25 Low Aug 12 

A bull cycle in S&P E-Minis remains intact and the contract traded to a fresh cycle high on Monday. Price has recently breached the 6700.00 handle and this signals scope for an extension towards 6787.63, a Fibonacci projection point. Moving average studies remain in a bull-mode position, highlighting a dominant uptrend and positive market sentiment. Initial support to watch lies at 6625.74, the 20-day EMA.

"The United Kingdom Debt Management Office (DMO) announces that the fourth transaction of the 2025-26 syndication programme will be the launch of a new conventional gilt maturing on 31 January 2041. The new gilt will have the ISIN code GB00BVP99897 and the SEDOL code B-VP9-989; it will pay a short first coupon on 31 January 2026. The transaction is planned to take place in the week commencing 13 October 2025, subject to demand and market conditions. Further details of this transaction, including the appointment of the syndicate and the coupon on the new gilt, will be announced in due course."

• The maturity date comes as expected by MNI.
• Note that in its August consultation with GEMMs and Gilt investors, there was appetite for a 2041 Gilt maturing in the first half of the year.
• GEMMs: GEMMS were "supportive of the launch of a new conventional gilt in the 15-year maturity area in October 2025. The majority of those who offered an opinion preferred the new gilt to mature in either January or March 2041 with an isolated call for an October 2041 maturity. There were also isolated calls for the new gilt to mature in either March, July or October 2040 or in March 2042".
• Investors: "Amongst those investors who expressed an opinion, there was clear support for issuance of a new conventional gilt in the 15-year maturity area, with launch in October 2025 favoured by most who offered a view. Maturity months mentioned included January, March and May 2041".

• RES 4: 177.08 2.000 proj of the Feb 28 - Mar 18 - Apr 7 price swing 
• RES 3: 175.43 High Jul 11 ‘24 and a key medium-term resistance
• RES 2: 174.86 1.764 proj of the Feb 28 - Mar 18 - Apr 7 price swing
• RES 1: 174.65 Intraday high  
• PRICE: 174.58 @ 07:28 BST Sep 24
• SUP 1: 173.26/172.03 20- and 50-day EMA
• SUP 2: 170.97 Low Aug 14 
• SUP 3: 169.73/45 Low Jul 31 / 23.6% of the Feb 28 - Jul 28 bull leg 
• SUP 4: 168.46 Low Jul 1   

The trend set-up in EURJPY is unchanged, it remains bullish and the cross has today traded to a fresh cycle high. This confirms a resumption of the uptrend and maintains the bullish price sequence of higher highs and higher lows. Moving average studies are in a bull-mode too, highlighting a dominant uptrend. Sights are on 174.86, a Fibonacci projection. On the downside, first support to watch lies at 173.26, the 20-day EMA