This week we have to contend with a whole flurry of central bank meetings - BOE, Fed and ECB...these tend to lead to quite stagnant markets beforehand and a flurry of excitement afterwards. Having a quick glance around the markets, the Bund has caught my eye this morning.
Why the interest? Well from a longer term perspective we are convinced that a major top is...
Trend Analysis
The main view of this trade idea is on the 15-Min Chart. German Bunds (FGBL1!) formed a double bottom or W chart pattern setup after testing 169.60 support and break above 170.3 resistance. Expectations are for the uptrend to continue, with the completion of the setup being around the 171.20 price level. Failure of the setup will be observed if...
There is a broad consensus out there for higher Bund yields, and we agree.
Euro zone bond yields ticked up again last week as inflation expectations rise.
Our updated chart shows that from a TA point of view we will need to break over the resistance at 173 and aim higher.
If this resistance is not breached over, we could experience a significant drop in the price...
Waiting for German Bund Future and 30 Year Bonds trade at (prior) POC then entering short postions with a trailing stop above the hourly and daily bar.
