Bunds seeing corrective risks, upside expected after 159.11 break – RBS

FXStreet (Barcelona) - Dmytro Bondar, Technical Analyst at RBS, expects Bunds might see some correction before heading higher towards 159.53.

Key Quotes

“The price started to develop an upswing while testing the 159.11 resistance, but formed an inside session, indicating there may be a correction from the level before extending the move North, as we believe the market has formed a local base at 158.00/18, confirming our view for more upside towards 0.13% amid the bullish flag triggered and 0.22% resistance broken.”

“The corrective wave should see support at the 20-day MA and 158.18 Fibonacci retracement. After that, I believe the price will form a further swing to 159.53, 160.04 and possibly 160.88.”

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