EM ASIA CREDIT: Kookmin Bank: Q2 results out

• Compared to some of the moves seen in Equities (up), Oil (down) and FX (Dollar down) following Trump announcing a potential truce between Israel and Iran, the price action in Bund and {us} US Treasuries have so far been more muted.
• The early rally in EGB's is led by the Italian BTP, with the contract Gapping higher on the open, a 25 ticks gap to trade at its highest level in 7 sessions. Geopolitical Improvement is likely one of the source, helping the BTP/Bund tighter, and back below 95bps.
• The resistance in Bund is still unchanged at 131.28, despite printing a 131.33 high last Week.
• Support moves up 130.47, but most Investors will have their eyes on the 2.60%, this is still the level to initially watch on the downside in futures, equates circa 130.10.
• The US 10yr Yield did found some support around the 4.30% mark Yesterday, after registering a 4.2886% low.
• Today sees, the German IFO, Canadian CPI and US Consumer Confidence, but like Yesterday with the PMIs, how much these Data move the Markets remain to be seen, especially given that the focus Today will be on Fed Chair Powell's Testimony.
• SUPPLY: UK £1.7bn 2035 Linker (won't Impact Gilt), {ge} Germany €4bn 2yr Schatz (Equates to 37.2k Schatz) could weigh, {us} US Sells $69bn of 2yr Notes.
• SYNDICATION: Slovenia 10yr.
• SPEAKERS: Today is packed with Speakers, BoE Bailey, Greene, Ramsden, Pill, Breeden, ECB Lagarde, Guindos, Kazimir, Lane, Fed Powell, Hammack, Williams, Kashkari, Collins, Barr.

• RES 4: 5486.00 High May 20 and a key bull trigger  
• RES 3: 5456.00 High Jun 11 
• RES 2: 5403.00 High Jun 12 
• RES 1: 5364.00 High Jun 16   
• PRICE: 5338.00 @ 07:10 BST Jun 24 
• SUP 1: 5194.00 Lo Jun 23 and a bear trigger    
• SUP 2: 5182.00 Low May 2 
• SUP 3: 5100.94 38.2% retracement of the Apr 7 - May 20 bull leg
• SUP 4: 5078.00 Low Apr 30  

A short-term bear cycle in Eurostoxx 50 futures remains intact, however, the recovery from Monday’s low appears to be a potential reversal. The contract has traded above the 20- and 50-day EMAs. A clear break of both averages would strengthen a reversal theme and signal scope for a stronger recovery. This would open 5486.00, the May 20 high and bull trigger. On the downside, a break of yesterday’s 5194.00 low would reinstate a bearish theme.

• RES 4: 150.49 High Apr 2   
• RES 3: 149.28 High Apr 3
• RES 2: 148.65 High May 12 and a reversal trigger
• RES 1: 146.19/148.03 Intraday high / High Jun 23  
• PRICE: 145.19 @ 07:20 BST Jun 24
• SUP 1: 144.80 20-day EMA 
• SUP 2: 144.34 Low Jun 18  
• SUP 3: 142.80 Low Jun 13   
• SUP 4: 142.12 Low May 27 and a key short-term support   

USDJPY has reversed lower from Monday’s high. This undermines a recent bullish theme and yesterday’s price pattern appears to be a shooting star candle formation. If correct, it signals a reversal of the recent bull cycle. Support to watch lies at 144.80, the 20-day EMA. A clear break of this level would strengthen a bearish threat. On the upside, a move above Monday’s high of 148.03 would reinstate a bullish theme.