LOOK AHEAD: Eurozone Timeline of Key Events (Times GMT)

• RES 4: 117.140 High Nov 26 and key resistance       
• RES 3: 117.070 High Nov 27  
• RES 2: 116.960 High Dec 1   
• RES 1: 116.320/770 High Dec 8 / 3   
• PRICE: 115.970 @ 05:20 GMT Dec 10 
• SUP 1: 115.840 Low Dec 9 
• SUP 2: 115.801.3.618 proj of the Nov 6 - 14 - 26 price swing  
• SUP 3: 115.747 3.764 proj of the Nov 6 - 14 - 26 price swing
• SUP 4: 115.660 4.000 proj of the Nov 6 - 14 - 26 price swing

The trend theme in Bobl futures remains bearish - last week’s sell-off plus Monday’s extension, reinforces a bear theme. Price last week breached support 116.790, the Nov 14 and 20 low. This confirmed a resumption of the downtrend that started mid-October. Sights are on 115.801 next, a Fibonacci projection. Note that the trend is oversold, a recovery would allow this set-up to unwind. First important resistance is at 116.770, the Dec 3 high.

• RES 4: 1.1779 High Oct 1   
• RES 3: 1.1747 50.0% retracement of the Sep 17 - Nov 5 bear leg
• RES 2: 1.1728 High Oct 17
• RES 1: 1.1694 50.0% retracement of the Sep 17 - Nov 5 bear leg 
• PRICE: 1.1630 @ 05:55 GMT Dec 10
• SUP 1: 1.1607 20-day EMA 
• SUP 2: 1.1547 Low Nov 26
• SUP 3: 1.1491/1469 Low Nov 21
• SUP 4: 1.1469 Low Nov 5 and the bear trigger  

EURUSD is in consolidation mode but continues to trade closer to its recent highs and a bull cycle remains intact. The recent breach of key short-term resistance at 1.1656, the Nov 13 high and a bull trigger, highlights a potential reversal and opens 1.1694 next, a Fibonacci retracement. A breach of this retracement point would strengthen the developing bull theme. Initial support to watch is 1.1607, the 20-day EMA. A breach of the EMA would be bearish.

• RES 4: 129.55 High Nov 26 and key resistance    
• RES 3: 129.24 High Dec 1    
• RES 2: 128.75 High Dec 3 and a key resistance 
• RES 1: 128.08/70 High Dec 8 / 20-day EMA           
• PRICE: 127.44 @ 05:22 GMT Dec 10 
• SUP 1: 127.26 Low Dec 9         
• SUP 2: 127.19 2.382 projection of the Nov 12 - 20 - 26 price swing 
• SUP 3: 127.00 Round number support
• SUP 4: 126.81 2.764 projection of the Nov 12 - 20 - 26 price swing

Bund futures remain in a bear-mode cycle following a recent impulsive sell-off and Monday’s downward acceleration. The contract has traded through the 128.00 handle, paving the way for an extension towards 127.19 next, a Fibonacci projection. Key short-term resistance is 128.75, the Dec 3 high. Note that the contract has entered oversold territory. A corrective bounce would allow the oversold condition to unwind.