ADS Securities brings you the latest Daily Fundamental Update for the March 12th in this video.
Beginning with the Asian session, Australia and Japan figures came in with another disappointment. Australia Westpac Consumer Sentiment falls by 0.7% in March compared to the decline of 3% in February. Australia Home Loans unexpectedly showed no growth in January after a decline of 3.3% in September. In Japan, Corporate Goods Price Index slowed down to 1.8% in February. Gold reaches 19 week high as China, Ukraine raise haven demand while Copper touched the lowest level since July 2009.
Looking at the European session today there are only 2 economic releases today which likely to have a muted impact on the market as well. Euro Industrial Production set to rise 0.6% in January comparing to a decline of 0.7% in December. In Spain Year on Year CPI may decline by -0.1% for the second month in a row and no economic figures will be released from US today. US Crude Oil inventories may rise by 2.1 million barrel last week compared to a surplus of 1.4 million barrels the week before. The latest rise in Gold and a break above 1,350 suggesting further gains in the next few days and weeks.
ADS Securities brings you the latest Daily Fundamental Update for the March 12th in this video.
MBCFX brings you the latest technical analysis on the EUR/USD pair for the March 12th in this video.
EUR/USD — The EUR/USD pair edged lower to find support around 1.3850 and suffered a little setback following comments of the European Central Bank vice President who has not excluded any future intervention from the ECB if the economic outlook worsens. To avoid a deflation situation in Eurozone, the ECB may enact Quantitative easing by purchasing Public and Private Assets or cut Interest rates. Any rally of the pair may be capped due to the escalating tensions between Russia and Ukraine and weaker than forecasted economic data in China. The recent weak data coming out of China may increase demand for risk aversion assets and consequently will favour the US Dollar and hurt demand for single currency.
Traders may keep an eye on the Industrial Production Index in Eurozone and listen to the US Treasury Secretary’s speech later on the day. The EUR/USD retreated slightly yesterday towards 1.3833 due to lack of economic news which could drive the market. So the pair will enter within the correction step after significant rebound during the previous sessions. And as we have mentioned in our technical analysis of yesterday the EUR/USD will make some downward corrections towards the main support area stated in our daily newsletters.
MBCFX brings you the latest technical analysis on the GBP/USD pair for the March 12th in this video.
GBP/USD — In the previous trading sessions the Sterling found support from the release of better than expected Industrial and Manufacturing Production data. UK Manufacturing production rose 0.4% which increased optimism in the UK’s economic recovery. However the currency declined against the majority of its peers and remained under pressure after Bank of England President Mark Carney claims that the bank can leave rates on hold for longer and criticized the claims that manipulation of Forex rates. As we have mentioned in our technical analysis of yesterday, the GBP/USD declined and has succeeded to breakthrough the ascending flag to the downside hitting 1.6596 and as we can see on the 1 hour chart the prices are trading within sideways triangle which confirms the continuation of the bearish trend towards the following targets that we will mention in our daily newsletters.
The Wall Street finished trading in the red despite a positive start to the day. The market has been rising continously over the past 5 year with a yield of 170%. This long term bullish trend is worrying Investors. The S&P 500 declined by -0.51%, Nasdaq by -0.40% and Dow by 0.41%. The US Dollar remained almost unchanged versus most of its major counterparts despite the JOLTS Job Openings report coming out worse than expected which should have weakened the Dollar. Today’s fall in the US market should have caused the US Dollar to rise. Investors are waiting for the Unemployment Claims report which is due to be released tommorrow. Gold rose by 0.54% to close at $1,347 an ounce while Crude oil fell by -1.45% a barrel.
The Euro weakened slightly versus US Dollar after German Trade Balance report came out worse than expected. The EUR/USD is trading in an ascending channel close to the strong resistance level of 1.39. Breaching this resistance could lead the pair to around 1.40.
The Pound dropped versus US Dollar despite Manufacturing Production report coming out better than expected. The GBP/USD is trading close to the support of 1.6594 and is expected to rise towards 1.67 again. However crossing below support level may lead the pair to 1.65.
ADS Securities brings you the latest Daily Fundamental Update for the March 11th in this video.
During the Asian session today there were few common figures in addition to Bank of Japan Monetary policy statement which had a slight impact on the market as well. In Australia Business Confidence eased to 7 in February. As for Bank of Japan, the bank decided to stick with easing plan with no change despite the fact that the Q4 GDP slowed down to Q3 levels and Asian Stocks climb as Investors weigh China Credit. Gold continues to recover to as high as 1344 USD/Ounce as Russia and Ukraine tensions rising amid fears of global sanctions on Russia.
During the European session today we will be focusing on few economy figures which may also have slight impact on the markets. German Trade Balance set to rise to 19.3 billion in January. The UK Inflation Report Hearing will be held at 9:30 GMT and UK Manufacturing Production set to rise by 0.3% in January. UK Industrial Production may rise by 0.3% in January. JOLTS Job Openings may rise to 4.02 million
MBCFX brings you the latest technical analysis on the GBP/USD pair for the March 11th in this video.
GBP/USD — All Investors attention turns to date of the release of UK Industrial and Manufacturing production and the data is expected to show some improvements compared to previous reading in order to achieve the annual level of 3% compared to 1.8% during the year 2013, in addition to positive expectations of the Central bank supporting the economy and the bank has maintained the same Monetary policy to promote growth and recovery. On the other hand during this week we wait for the release of US economic news which will add some dynamics to the market including the US Retail sales and the PPI which measures the Inflation rate and also other news including the Jobless claims report. As we have mentioned in our technical analysis of yesterday the GBP/USD declined hitting 1.6622 amid the absence of economic data and then bounced up and remain steady around 1.6644. Then the cable has succeeded t breakthrough the ascending flag to the upside and then resumed its bearish trend and we expect that the pair will finish its pullback step towards the following targets that we will mention in our newsletters.
Christopher Lewis brings you the latest technical analysis on the EUR/USD pair for the March 11th in this video.
EUR/USD — While this is the pair that i am not interested in lately, quite frankly it suddenly has got very interesting. You can see that during the Monday session we went back and forth and really didn’t do much. We had a shooting star candle in the daily chart on Friday. As I zoom out to the weekly and monthly charts you can see that there is a significant downtrend line there and you can also make a case for potential downward sloping channel leading to a potential descending triangle, a little sloppy but its there. And remember these are monthly candles. A trend line can be 80 pips thick on a monthly chart. If we fall from here in this triangle, this is a 1200 pip move potentially. But on the other hand if we could break out to the upside a target of 1.50 is not unrealisitic and it turns this in to a rectangle setup and we are in the midline of this rectangle at the moment.
Now I am placing to trade in this pair right now and I think we will get a longer term signal soon. Looking at the daily chart, if we get a close above this shooting star candle I will go long with the EUR/USD pair and quite frankly looking for a longer term move, perhaps to the 1.50 area or so. If we break down i want to see 1.38 level and from there we could see 1.28 level possibly.
The Wall Street finished trading in the red over concerns about the rising tension in Ukraine and the release of Unemployment Rate which rose by 6.7% also adding to Investors anxiety. The US Dollar closed almost unchanged versus most of its major counterparts as Investors await new economic data. The Retail Sales report on Thursday should strengthen the US Dollar against the other majors. Gold rose by 0.13% to close at $1,340 an ounce. Crude oil fell by 1.46% to close at $100.92 a barrel. The Euro weakened slightly versus US Dollar after the Sentix Investor Confidence report came out worse than expected. The EUR/USD has been trying to breach the strong resistance level of 1.3910 with little success.
The Pound dropped versus US Dollar after Bank of England Deputy Governor said he would like to see a drop in Sterling to help UK exports. As long as the GBP/USD is trading above the key support level of 1.6610 the pair’s momentum is bullish and it should continue to rise to around 1.68.
ADS Securities brings you the latest Daily Fundamental Update for the March 10th in this video.
Beginning with the Chinese figures that were released during the weekend, China February exports fell by 44.9% Month on Month and 18% Year on Year basis. China Trade Balance posted the first deficit since 2012 of -23 billion. China Inflation also eased back 2% in February. The figures increased the fears of slowing down and could be faster than expected, leading the Aussie Dollar to retreat back to 0.9030. In Japan, Q4 Final GDP is revised down to 0.2 instead of 0.3%.
As for the European session today few economic figures will be released today. French Industrial Production set to rise by 0.6% in January and Italian Industrial Production may rise to 0.4% in January. Switzerland Year on Year Retail Sales may rise 2.7% in January.
Going forward with the US session today there are no economic figures released while Canada Housing Starts may rise to 190K in February
MBCFX brings you the latest technical analysis on the GBP/USD pair for the March 10th in this video.
GBP/USD — During the last week we followed the release of different European and British data as the President Mario Draghi and Mark Carney have announced the next Monetary policy of the banks. In addition to the US Labor Department report on Friday showed better than expected payrolls numbers. However for this week just some economic news will add some dynamics to the market including the US Retail sales and the PPI which measure the Inflation rate. Also other news including the Jobless claims report. The GBP/USD steadied above the Fibonacci level of 38.2% which confirms the strength of the bullish trend and if the prices breakthrough the Fibonacci level of 61.8% of the 1.647 level to the downside, the trend will shift from bullish to bearish and we recommend our dear traders to seize the opportunities of every rally and open sell positions as the cable is expected to retreat towards the next targets that we will mention in our daily newsletters.