22 Jul 2013
Flash: H&S pattern remains in place for gilts – RBS
FXstreet.com (New York) - Technical Markets Strategist Dmytro Bondar at RBS analyzes the weekly outlook of Gilts.
Key quotes
“The large inverse head and shoulders pattern with 2.8% and 3.13% targets remain in place for Gilts, but a strong reaction from the 138.2% projection of 2.60%.”
Moreover, “Coupled with a weekly Doji star and cross-market signals from Treasuries and Bunds suggest there will be good chances of extending the rally to the 2.15% resistance region, where the H&S neckline lies before continuing moving to the long-term targets of 2.80 and 3.13% targets by year-end.”
Key quotes
“The large inverse head and shoulders pattern with 2.8% and 3.13% targets remain in place for Gilts, but a strong reaction from the 138.2% projection of 2.60%.”
Moreover, “Coupled with a weekly Doji star and cross-market signals from Treasuries and Bunds suggest there will be good chances of extending the rally to the 2.15% resistance region, where the H&S neckline lies before continuing moving to the long-term targets of 2.80 and 3.13% targets by year-end.”