GERMANY BUND

Bond prices are rising again. German government bonds are looking strong as Bund futures prepare for a breakout from a 2 year-long consolidation range. Since mid-2012 German Bund has been consolidating between 137 and 147 levels. Prices are now testing the strong resistance at 147 levels for the 4th time. Breakout above 147 can result in a multi-month strength in German government bonds. Breakouts from flat consolidation ranges are powerful and are usually followed by trend periods.  Failure to close decisively above 147 levels can result in further consolidation between 137 and 147.

Monthly scale chart

Weekly scale chart