EU HEALTHCARE: Becton Dickinson and Eli Lilly significantly lower post-results

• RES 4: 5600.00 Round number resistance
• RES 3: 5516.00 High Mar 3 and the bull trigger 
• RES 2: 5471.00 High Mar 19 / 20 
• RES 1: 5290.00/5335.34 50- and 20-day EMA values              
• PRICE: 5250.00 @ 06:31 BST Apr 2 
• SUP 1: 5157.00 Low Mar 31                 
• SUP 2: 5116.27 1.236 proj of the Mar 3 - 11 - 19 price swing 
• SUP 3: 5079.00 Low Feb 3 and a key support     
• SUP 4: 5040.00 Low Jan 16      

Eurostoxx 50 futures traded lower Monday resulting in a breach of key support at 5229.00, the Mar 11 low. The contract has recovered, however, the print below 5229.00 undermines a bullish theme and signals scope for a deeper retracement. The 5200 handle has also been cleared, opening 5079.00, the Feb 3 low. It is still possible that recent weakness is part of a broader correction. Initial firm resistance is 5335.34, the 20-day EMA.

Greece and the EU are both due to sell bills today, whilst France, Belgium and the ESM have already issued this week. We expect issuance to be E16.1bln in first round operations, down from E21.4bln last week.

• Today, Greece will come to the market with E500mln of the new 13-week Jul 4, 2025 GTB on offer.
• To conclude the week today, the EU will look to sell up to E1.5bln of the 3-month Jul 4, 2025 EU-bill, up to E1.5bln of the new 6-month Oct 3, 2025 EU-bill and up to E1.5bln of the new 12-month Apr 10, 2025 EU-bill.

• RES 4: 0.8494 High Aug 26 ‘24        
• RES 3: 0.8474 High Jan 20 and a key resistance
• RES 2: 0.8428/8450 High Mar 18 / 11 and the bull trigger
• RES 1: 0.8395 High Mar 24 and a key near-term resistance       
• PRICE: 0.8355 @ 06:32 BST Apr 2 
• SUP 1: 0.8316 Low Mar 28 and a key near-term support 
• SUP 2: 0.8291 76.4% retracement of the Mar 3 - 11 bull leg
• SUP 3: 0.8251 Low Mar 4  
• SUP 4: 0.8241 Low Mar 3 and a bear trigger

EURGBP is trading above last week’s low. The bear leg that started Mar 11 appears corrective and has allowed an overbought condition to unwind. MA studies are in a bull-mode position, highlighting a dominant uptrend. Support to watch is 0.8316, the Mar 28 low. A break of this level would signal scope for a deeper retracement and open 0.8290, a Fibonacci retracement. For bulls, clearance of  0.8395, the Mar 24 high, would be a bullish development.