EUROZONE T-BILL ISSUANCE: W/C February 10, 2025

Feb-14 06:41

France, Spain, Belgium, Finland and Italy have all issued this week. Issuance was E22.2bln in first round operations, down from E25.8bln last week.

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For more on future auctions see the full MNI Eurozone/UK T-bill auction calendar here.

Historical bullets

EUROSTOXX50 TECHS: (H5) Support Remains Intact

Jan-15 06:35
  • RES 4: 5097.00 High Oct 14
  • RES 3: 5080.00 High Oct 15      
  • RES 2: 5068.13 0.764 proj of the Nov 21 - Dec 9 - 20 price swing   
  • RES 1: 5054.00 High Jan 8          
  • PRICE: 5000.00 @ 06:18 GMT Jan 15  
  • SUP 1: 4939.33/4876.00 50-day EMA / Low Jan 3         
  • SUP 2: 4829.00 Low Dec 20 and key short-term support     
  • SUP 3: 4800.87 76.4% retracement of the Nov 21 - Dec 9 bull cycle 
  • SUP 4: 4775.00 Low Nov 29 

A bull cycle in the Eurostoxx 50 futures contract remains intact and the latest pullback appears corrective. Initial support is at 4939.33, the 50-day EMA. It has been pierced, a clear break of this EMA would undermine a bullish theme and signal scope for a deeper retracement. For bulls, resistance at 5040.00, Dec 9 high, has recently been pierced. Clearance of it would resume the bull cycle that started on Nov 21 and open 5068.13, a Fibonacci projection.

EURGBP TECHS: Trades Through Resistance

Jan-15 06:29
  • RES 4: 0.8530 76.4% retracement of the Aug 8 - Dec 19 downleg 
  • RES 3: 0.8494 High Aug 26 ‘24  
  • RES 2: 0.8471 61.8% retracement of the Aug 8 - Dec 19 downleg
  • RES 1: 0.8451 High Jan 14 
  • PRICE: 0.8439 @ 06:28 GMT Jan 15
  • SUP 1: 0.8385 Low Jan 14   
  • SUP 2: 0.8325/8284 50-day EMA / Low Jan 8
  • SUP 3: 0.8263 Low Dec 31
  • SUP 4: 0.8223 Low Dec 19

EURGBP maintains a firmer tone and the cross traded higher Tuesday. The latest recovery undermines the recent bearish theme and suggests scope for a stronger short-term recovery. 0.8376, the Nov 19 high and a key resistance, has been cleared. Note too that 0.8448, the Oct 31 high, has been pierced, a clear break of this hurdle would strengthen the bullish theme. Support at the 50-day EMA is at 0.8325.

SCHATZ TECHS: (H5) Trend Needle Points South

Jan-15 06:25
  • RES 4: 107.065 High Jan 2
  • RES 3: 106.965 High Jan 3  
  • RES 2: 106.835 20-day EMA 
  • RES 1: 106.650/785 High Jan 10 / 6     
  • PRICE: 106.470 @ 06:01 GMT Jan 15   
  • SUP 1: 106.435 Low Jan 14             
  • SUP 2: 106.375 Low Oct 31  (cont) and a key support
  • SUP 3: 106.342 2.764 proj of the Dec 2 - 6 - 12 price swing
  • SUP 4: 106.255 3.000 proj of the Dec 2 - 6 - 12 price swing

The current bear cycle in Schatz futures remains intact and recent weakness, including fresh cycle lows this week, reinforce this theme. The move down confirms a resumption of the bear leg and sights are on 106.375 next, the Oct 31 ‘24 low (cont). Firm resistance is seen at 106.835, the 20-day EMA. Short-term gains would be considered corrective and allow an oversold condition to unwind.