Flash: Bund closing below 143.37 would form reversal – RBS

FXstreet.com (New York) - According to Technical Strategist Dmytro Bondar at RBS, “It was previously speculated that bunds would see a short-term recovery up to the 143.95 pivot point, but remain bearish in the long term.”

However, the price posted a high of 143.84 and struggled to test the 143.95 retracement, though it hasn’t yet formed a reversal pattern. “It means that a confirmation is needed before going short. A dark cloud cover candlestick pattern would be formed with the use of a blending technique should the price close below 143.37 today. Unless it happens, the market will be supported for the time being and could re- test 143.95/98 resistance region.” Bondar adds.