UTILITIES: Acciona Energias (ANESM NR/NR/BBB-): FY24 Results Out

• RES 4: 93.64 61.8% retracement of the Dec 3 - Jan 13 bear leg  
• RES 3: 93.09 High Dec 20    
• RES 2: 92.75 50.0% retracement of the Dec 3 - Jan 13 bear leg
• RES 1: 92.68 High Jan 27               
• PRICE: 92.09 @ Close Jan 28
• SUP 1: 91.10 Low Jan 20                               
• SUP 2: 89.68/88.96 Low Jan 15 / 13 and the bear trigger 
• SUP 3: 88.87 2.764 proj of the Dec 20 -27 - Jan 2 price swing
• SUP 4: 88.53 3.000 proj of the Dec 20 -27 - Jan 2 price swing

The medium-term trend condition in Gilt futures is unchanged, it remains bearish. However, recent gains continue to highlight a corrective phase and signal scope for a continuation higher near-term. The contract has traded through the 20-day EMA and the focus is on 92.75, a Fibonacci retracement point. The bear trigger has been defined at 88.96, the Jan 13 low. Initial support is at 91.10, the Jan 20 low.

Germany and Italy are both due to return to the market to hold auctions this week. Austria has held a syndication while the EU, the Netherlands, Germany and Italy have held auctions already this week. We look for estimated gross issuance for the week of E37.5bln, down from E57.5bln last week.

• Today, Germany will return to the market to sell E4.5bln of the 10-year 2.50% Feb-35 Bund (ISIN: DE000BU2Z049).
• Tomorrow, Italy will hold an auction to sell 5/10-year BTPs and a CCTeu. On offer will be E2.50-2.75bln of the on-the-run 5-year 3.00% Oct-29 BTP (ISIN: IT0005611055) alongside two off-the-run BTPs in the 10-year area: E1.5-2.0bln of the 3.85% Feb-35 BTP (ISIN: IT0005607970) and E1.0-1.5bln of the 3.35% Mar-35 BTP (ISIN: IT0005358806). E2.25-2.75bln of the Apr-33 CCTeu (ISIN: IT0005620460).

For more details on issuance this week and next week see the full document here: EZ250129.pdf

• RES 4: 159.45 High Jul 12  
• RES 3: 159.26 0.618 proj of the Sep 16 - Nov 15 - Dec 3 price swing
• RES 2: 158.08/87 High Jan 15 / 10 and the bull trigger 
• RES 1: 156.75 High Jan 23       
• PRICE: 155.28 @ 06:49 GMT Jan 29
• SUP 1: 153.72/34 Low Jan 27 / Low Dec 18  
• SUP 2: 152.55 61.8% retracement of the Dec 3 - Jan 10 bull leg
• SUP 3: 151.81 Low Dec 12   
• SUP 4: 151.06 76.4% retracement of the Dec 3 - Jan 10 bull leg   

USDJPY is trading closer to its recent lows. The primary trend condition  remains bullish, however, Monday’s move down highlights a stronger bear threat. The pair has breached the 50-day EMA and a trendline drawn from the Sep 16 ‘24 low. A resumption of weakness would open 152.55, a Fibonacci retracement point. Initial firm resistance is at 156.75, the Jan 23 high. Clearance of this level would be a bullish development.