Bund tested the 100 day moving average at 142.38 and shot higher from this low point reaching our 143.26/30 target as we topped at 143.38. If we dip back below 143.23 today look for 143.03/98 and a good chance of a bounce.
However below here a little support at 142.85. If this fails we will probably see 142.69/66 with a break lower risking a retest of 142.38. Excellent support here could see another bottom with the 50% daily Fibonacci support plus a 4 month trend line just below at 142.29. There is a good chance therefore that we can fall no further than this level and it should be worth exiting shorts and buying in to longs with a stop below 142.10. A break would then target 141.84/77.
If however we can push through 143.40 we should head for last week’s high at 143.62 and this should be tough to beat. If we do continue higher look for 144.10/15 and the chance of a high.