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8 Jan 2015
Bunds targeting 158.09/52 levels – RBS
FXStreet (Barcelona) - Analysts at RBS share that bunds broke above the resistance at 157.00 and are now targeting 158.09/52 levels, but might see a minor correction before the climb higher.
Key Quotes
“The market tackled the 157.00 resistance, from where I think there would be a minor correction, as the price action deviated from the trendline (being in effect since mid last year) and momentum oscillators reached a deeply overbought region. If so, there would be a strong support at 155.54, which is formed by both the 161.8% Fibonacci level and the 20-day moving average. Once the correction is completed, a further move North towards 158.09/52 targets would be expected.”
Key Quotes
“The market tackled the 157.00 resistance, from where I think there would be a minor correction, as the price action deviated from the trendline (being in effect since mid last year) and momentum oscillators reached a deeply overbought region. If so, there would be a strong support at 155.54, which is formed by both the 161.8% Fibonacci level and the 20-day moving average. Once the correction is completed, a further move North towards 158.09/52 targets would be expected.”