US TSY FUTURES: TU Blocked

Germany, Spain, France and Belgium will all look to issue bonds this week. We look for estimated gross nominal issuance of E16.5bln from announced operations, down from last week’s E23.6bln.

• Germany will kick off issuance for the week this morning with E500mln of linkers on offer: E300mln of the 0.10% Apr-33 ILB (ISIN: DE0001030583) and E200mln of the 0.10% Apr-46 ILB (ISIN: DE0001030575).

For more on this week's issuance see the PDF here:

EZ221101.pdf

Belgium, Greece and the ESM are still due to sell bills this week while Germany, the Netherlands and France came to the market yesterday. We look for an estimated E16.8bln to be raised in first round operations, down from E18.2bln last week.

• This morning, Belgium will look to sell E1.8-2.2bln of 4/6-month TCs: an indicative E1.0bln of each of the Mar 9, 2023 TC and the May 11, 2023 TC.
• Tomorrow, Greece will look to sell E625mln of the new 13-week Feb 3, 2023 GTB.
• The ESM will conclude Eurozone bill issuance for the week, also tomorrow, with new 3-month Deb 9, 2023 bills on offer for up to E1.1bln.

• RES 4: 149.46 1.382 proj of the May 12 - Jun 28 - Aug 2 price swing
• RES 3: 148.88 High Dec 9 2014
• RES 2: 148.40/45 High Oct 21 and the bull trigger / High Dec 15 2014
• RES 1: 147.75 High Oct 31
• PRICE: 146.87 @ 06:30 BST Nov 1
• SUP 1: 145.26 / 143.80 20-day EMA / Low Oct 24 and key support
• SUP 2: 143.05 50-day EMA
• SUP 3: 141.78 Low Oct 13
• SUP 4: 140.90 Low Oct 10

The EURJPY trend condition is bullish. A key support has been defined at 143.80, the Oct 24 low, where a break would suggest scope for a deeper pullback. Attention is on resistance at 148.40, the Oct 21 high. This is a bull trigger and a break would confirm a resumption of the uptrend and open 149.46, a Fibonacci retracement. Moving average studies continue to highlight a bullish backdrop. Initial support to watch is 145.26, 20-day EMA.