BTP TECHS: (U5) Trading Inside A Range
- RES 4: 122.35 2.500 proj of the May 14 - 20 - 21 price swing
- RES 3: 122.00 Round number resistance
- RES 2: 121.73 High Jun 13 and the bull trigger
- RES 1: 121.13 High Aug 15
- PRICE: 120.62 @ Close Aug 20
- SUP 1: 119.59 Low Jul 25 and key short-term support
- SUP 2: 119.48 Low May 26
- SUP 3: 118.87 Low May 21
- SUP 4: 118.51 Low May 14 and key support
The primary trend condition in BTP futures remains bullish. However, for now, the contract continues to trade inside a range and the Aug 15 sell-off signals scope for a move towards the lower end of the range. Key support to watch lies at 119.59, the Jul 25 low. A clear break of this level would mark a range breakout and highlight a bearish threat. Key resistance is unchanged at 121.73, the Jun 13 high.
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BTP TECHS: (U5) Trend Needle Points North
- RES 4: 122.71 2.764proj of the May 14 - 20 - 21 price swing
- RES 3: 122.35 2.500 proj of the May 14 - 20 - 21 price swing
- RES 2: 122.00 Round number resistance
- RES 1: 121.22/121.73 20-day EMA / High Jun 13 and the bull trigger
- PRICE: 121.20 @ Close Jul 21
- SUP 1: 119.84 Low Jul 14 and key short-term support
- SUP 2: 119.48 Low May 26
- SUP 3: 118.87 Low May 21
- SUP 4: 118.51 Low May 14 and key support
The primary trend condition in BTP futures is unchanged, it remains bullish. Monday’s strong rally reinforces this theme. Key short-term support has been defined at 119.84, the Jul 14 low. A break of this level is required to reinstate a short-term bearish threat. On the upside, resistance and the bull trigger to watch is 121.73, the Jun 13 high. Clearance of this level would resume the uptrend.
MNI: UK JUN PSNCR GBP-16.11 BN
- MNI: UK JUN PSNCR GBP-16.11 BN
- UK JUN CGNCR GBP15.68 BN
- UK JUN PSNB-X GBP+20.68 BN
- UK JUN PSNB GBP+20.68 BN
GILT TECHS: (U5) Corrective Bounce
- RES 4: 93.41 High Jul 2
- RES 3: 93.00 Round number resistance
- RES 2: 92.79 High Jul 4
- RES 1: 91.97/92.24 20-day EMA / HIgh Jul 15
- PRICE: 91.78 @ Close Jul 21
- SUP 1: 91.08 Low Jul 18
- SUP 2: 90.97 76.4% retracement of the May 22 - Jul 1 bull leg
- SUP 3: 90.59 Low May 29
- SUP 4: 90.46 Low May 23
A bear cycle in Gilt futures remains in play and for now, Monday’s strong gains are considered corrective. Recent weakness resulted in a break of support at 91.63, the Jul 2 low. Price has also traded through 91.50, the 61.8% retracement of the May 22 - Jul 1 bull leg. The move down exposes 90.97, the 76.4% retracement point. Clearance of this level would strengthen a bearish theme. Initial firm resistance is at 91.97, the 20-day EMA.
