More bullish evidence for Bunds

Evidence for German Bunds continues to build for bullish turn in trend, especially as the US-GER 10yr spread is showing signs of basing and resuming its long term widening trend. 

BofA Merrill Lynch says "We reiterate our view that Bunds yields are topping out and turning  near /medium term bullish. Momentum & Elliott Wave analysis are consistent with a yield top (price low), as is the series of daily and weekly candlestick formations over the course of the past week and a half."

"Finally, futures have held long term trend line support. In the sessions & weeks ahead, we look for a corrective pullback & renewed choppy range-bound activity into the 79.3bps/ 47.2bps range." adds BofA Merrill Lynch