Bunds upside bias above 152.23/18 – Commerzbank

FXStreet (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank, explains that Bunds remains bid whilst above the support at 158.23/18, currently trapped in the 158.18-159.54 range.

Key Quotes

“Bund futures have held several tests of the 158.23/18 support and while above here an upside bias will remain entrenched.”

“Essentially the market is side lined within a 158.18-159.54 range and we wait for a break out to determine direction. Above the 159.54 recent high will see a move to the top of its 7 year channel at 159.96.”

“Above the 7 year channel at 159.96 we have 160.90 – the measurement higher of the range 159.45-158.18.”

“A close below 158.18 on the other hand will act as the break down point to key support, which remains 156.73/156.40, the 2014-2015 uptrend and 55 day ma. A close below here will be needed to negate the long term bull move (this is not favoured at this stage).”

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