HALISTER1: iTraxx Snr Fins Breaking 105bps Fibonacci; Bull Cross on DMAs

iTraxx Snr Fins Breaking 105bps Fibonacci; Bull Cross on DMAs

(Bloomberg) -- iTraxx Europe Senior Financial CDS index now widening above the 105bps level, which capped it earlier in the week; moving-average crossover may signal further widening in credit spreads, Bloomberg technical analyst Sejul Gokal writes.
  • See live chart here
  • 21-DMA crossing above 55-DMA, which in late December 2015 and mid-May of this year heralded higher CDS levels in weeks ahead
    • Moreover, both DMA’s point upward, suggesting trend is up on CDS spreads
  • Resistance levels to watch: 112bps and 119bps
  • NOTE: Sejul Gokal is a technical strategist who writes for Bloomberg. The observations he makes are his own and are not intended as investment advice.
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

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