30 / 09 / 2015 | Technical Analysis

GBP/USD: Bearish Pressures Noticed Below 1.5195

North American Session
The GBP/USD pair has been ranging since the 25th of September 2015, between the levels of 1.5239 and 1.5131.
The currency pair has been testing the 1.5208 level for resistance, but could not break above that zone. This fact in combination with the latest bearish candlestick formations, indicate that the market is facing strong selling pressures. In the event that the sellers gain momentum and push the price to break below the level of 1.5133, the pair could hit the lows of 1.5083 and 1.5005 in extension.
Alternatively, in the scenario where the buyers become strong enough to push the price above the level of 1.5215, the pair could rise up to 1.5250 and 1.5277 respectively.



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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30 / 09 / 2015 | Market News

Upbeat Employment Data Push the Greenback Higher

The greenback strengthened against other major rivals on Wednesday, 30th of September 2015, in the wake of data showing that non-farm private employment in the U.S. increased above expectations this month and as investors awaited Janet Yellen’s speech, due later in the day. 

ADP payroll processing company reported that U.S. non-farm payrolls increased by 200,000 in September, exceeding forecasts for a rise of 194,000.  In August, the economy added 186,000 new jobs, a figure that was revised down from a previously reported rise of 190,000. 

Market participants were expecting a speech be Janet Yellen scheduled later in the day, after mixed remarks from Fed officials last week triggered concerns over whether the U.S. central bank will hike short-term interest rates by the end of 2015.  New York and San Francisco Fed Presidents said that they were in favour of a rate hike in 2015, while Chicago President stressed that rates shouldn’t be changed prior to mid-2016. 

The U.S. dollar also gained ground against the single currency, with EUR/USD losing 0.51% to trade at 1.1191. The euro came under pressure following Eurostat’s report, showing that the annual rate of inflation in the euro zone slid by 0.1% in September, against expectations for a flat reading. This was the first time in six months that the single currency bloc experienced falling inflation.

A separate report released in the same day, indicated that unemployment rate in the eurozone held steady at 11.0% in August.

Elsewhere, the greenback cut losses against the sterling, with GBP/USD gaining 0.10% to trade at 1.5165. The pound remained underpinned, following the release of data revealing that the U.K. gross domestic product grew by a rate of 0.7% from April to June, in accordance with expectations and unchanged from the preliminary estimation. On a year-over-year basis, the country’s economic growth enlarged by 2.4% in the second quarter, below the initial estimation of 2.6%. 

The dollar was also higher against the yen and the Swissie, with USD/JPY rising 0.41% at 120.23, and the USD/CHF pair up 0.32% to trade at 0.9750.  
 
Meanwhile, the Australian and New Zealand dollars held stronger, with the AUD/USD gaining 0.45% to 0.7017 and with NZD/USD up 0.24% to trade at 0.6362. The USD/CAD pair remained unchanged at 1.3419, below the session lows of 1.3389. 

The U.S. dollar index, which tracks the performance of the greenback against a group of six other counterparts, gained 0.33% at 96.38.
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30 / 09 / 2015 | Technical Analysis

EUR/USD: Today’s Major Levels 1.1213 and 1.1260

European Session
The EUR/USD pair has been trending upwards since the 25th of September 2015, with the bulls leading the price from as low as 1.1117 to as high as 1.1280.

On Tuesday the pair initially fell, but found enough bulls at the 1.1199 level to turn the price back up and formulate a hammer. As the hammer is considered a bullish pattern, and provided that the buyers can push the price to break above the top of it, the price could escalate up to 1.1280 and 1.1329 in extension.

Alternatively, in the scenario that the buyers attempt to resume their downward pressures and the price breaks below the 1.1199 level, the price could go down to 1.1166 and 1.1117 respectively.



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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29 / 09 / 2015 | Technical Analysis

USD/JPY: Bullish Pressures Noticed At 120.00

North American Session
The USD/JPY pair has been declining aggressively since the 25th of September 2015, with the sellers being able to drive the price downwards from as high as 121.24 to as low as 119.23.
On the 29th of September the currency pair broke above the bearish channel formulated and rebounded to the 120.00 area. The latest bullish formations indicate that the buyers are trying to exert stronger pressures and gain control of the pair. In the event that they keep pushing the price higher until it breaks above the level of 120.23, profit targets could be set at 120.47 and 120.61 in extension.
Conversely, in the scenario where the sellers manage to resume their prior downward activity and the price breaks below the level of 119.71, the pair could decelerate down to 119.23.



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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29 / 09 / 2015 | Market News

Greenback Up Ahead the Release of U.S. Consumer Confidence

The greenback edged up against other major rivals on Tuesday, 29th of September 2015, amid increasing concerns over China’s economic growth and despite uncertainty over a potential U.S. rate hike by the end of the year, as market participants awaited the U.S. consumer sentiment report.
 
Investors were alarmed over the state of health of the second largest economy in the world, following official data released on Monday, showing that industrial profits in China declined by 8.8% last month from a year earlier. This marked the largest reduction in four years. Markets’ attention was turned to the publication of data on the Chinese factory sector on Wednesday for additional signals on the country’s economic condition.
 
Sentiment on the greenback was also weak amid concerns over whether the U.S. central bank will hike short-term interest rates in 2015, after mixed messages from Federal Reserve officials. San Francisco and New York Fed Presidents John Williams and William Dudley expressed their support for an interest rate raise by the end of 2015 in separate remarks on Monday. However, Chicago Fed President Charles Evans argued that interest rates should remain unchanged until mid-2016. The comments came after Janet Yellen stressed last week that the Federal Reserve is still on course to raise rates before the end of the year.
 
The U.S. dollar was up against the single currency, with the EUR/USD losing 0.40% at 1.1198. The euro was pressured following the release of data showing that the annual inflation rate in Germany fell to zero this month, worse than the estimates calling for a 0.1%. The consumer price index in the country dropped 0.2% from August, against anticipations for a 0.1% fall.
 
Meanwhile, the greenback was also stronger against the sterling, with the GBP/USD pair sliding 0.14% at 1.5153. A report published earlier in the UK revealed that net lending to individuals increased up to £4.3 billion in August from £4.0 billion a month before, whose figure was revised up from the initial estimation of £3.9 billion. Economists anticipated U.K. net lending to individuals to increase up to £4.1 billion in August.
 
The greenback held steady against the Japanese yen and the Swissie, with the USD/JPY pair trading at 119.96, while the USD/CHF pair traded at 0.9740.
 
The Australian and New Zealand dollars ticked higher, with the AUD/USD pair gaining 0.08% to trade at 0.6996 and with the NZD/USD pair up 0.39% to 0.6352. In the meantime, the USD/CAD pair was flat at 1.3403, still trading close to the six-year high of 1.3417.
 
The U.S. dollar index, which tracks the performance of the greenback against a group of six major counterparts traded at 96.36, gaining 0.24%.
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29 / 09 / 2015 | Technical Analysis

EUR/JPY: Stabilisation Noticed Below 134.73

European Session
The EUR/JPY pair was initially under downward pressures during the course of the day on Monday, 28th of September 2015, but found enough support at the 133.94 level to bounce back up and reach 134.86.

Subsequently, the currency pair consolidated below 134.82 and above 134.49, with the latest bullish candlesticks indicating that the buyers are attempting to gain momentum and push the price higher.

Provided that the price breaks above the level of 134.85, the pair could escalate up to 135.04 and 135.38 in extension.

Alternatively, in the scenario that the sellers manage to resume their prior downward pressures and break below the level of 134.01, the price could go down to 133.16. 
 



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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28 / 09 / 2015 | Technical Analysis

USD/JPY: Today’s Major Zones 120.59 and 119.75

North American Session
The USD/JPY pair attempted to rally during the course of the session on Friday, 25th of September 2015, with a strong movement reaching the high of 121.22. However, the pair could not withhold the upward pressures, thus falling back to 119.75.

In the event that the sellers cannot manage to penetrate the support zone at 119.75, the price could bounce back up. Provided that the buyers gain momentum and the price breaks above the level of 120.10, the price could escalate up to 120.32 and 120.49 in extension.

Alternatively, in the scenario where the sellers keep exerting strong downward pressures and manage to successfully break below the level of 119.75, the price could decelerate down to 119.22. 
 



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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28 / 09 / 2015 | Weekly Report

Dollar Higher Amid Strong Reports and Rate Hike Expectations

The greenback ended the week with gains against its major counterparts on Friday, 25th of September 2015, amid Federal Reserve’s indications that policymakers still expect interest rates to be raised later this year and as growth in the U.S. for the second quarter was revised higher. 

Support for the U.S. dollar remained underpinned, following Janet Yellen’s comments last Thursday that the Federal Reserve remains on track to hike short-term interest rates by the end of 2015. The remarks reassured market participants that the central bank’s monetary policy has not changed considerably against the backdrop of the Fed’s decision to keep rates unchanged later in September. An interest rate rise would boost the dollar by rendering it more appealing to yield-seeking traders.  

The dollar was also given extra boost after the release of official data on Friday, showing that the economy in U.S. grew at a faster pace than previously expected from April to June.  The U.S. Commerce Department reported that the country’s gross domestic product widened at an annual rate of 3.9% in the second quarter, higher that the initial estimations of 3.7%. What is more, consumer spending, which accounts for more than two-thirds of the U.S. economic activity was revised up to 3.6% from the 3.1% figure reported last month. 

The euro was lower against the greenback on Friday, sliding 0.33% to trade at 1.1194 in late trade. The Japanese yen and the Swiss franc also edged lower against the dollar, with USD/JPY gaining 0.36% to 120.48 and the USD/CHF pair rising 0.3% to trade at 0.9780. The pound also traded lower against the dollar, with GBP/USD falling 0.4% to 1.5178 in late trade. 

The U.S. dollar index, which tracks the performance of the greenback against a group of six other major rivals, was last trading up 0.27% at 96.37. 

Investors this week will be eyeing Friday’s jobs report for September 2015. A strong reading would reinforce anticipations for an interest rate hike by the Fed, before the end of 2015. 
 
Attention will also be turned to Wednesday’s eurozone inflation report in the midst of concerns that the European Central Bank could expand its monetary stimulus programme.
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28 / 09 / 2015 | Technical Analysis

GLD: Today’s Major Zones 1148.10 and 1142.28

European Session
Gold began declining during the course of the day on the 25th of September 2015, but found the 1140.70 level to be supportive enough to bounce back to 1147.88.

Subsequently, the precious metal stabilised between the levels of 1148.53 and 1143.74, with the latest bearish candlestick reaching 1142.28. In the event that the sellers exert heavier pressures on the metal and succeed in forcing the price below the support zone of 1140.70, the price could decelerate down to 1134.89 and 1121.54 in extension.

Alternatively, in case that the buyers manage to eventually overweigh sellers in trading volume and push the price above the 1146.92 level, the price could escalate up to 1150.65 and 1156.61 respectively.    
 



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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25 / 09 / 2015 | Technical Analysis

USD/CAD: Stabilisation Noticed Below 1.3353

North American Session
The USD/CAD pair has been aggressively escalating since the 18th of September 2015, with the buyers being able to lead the price from as low as 1.3012 to as high as 1.3416.

Subsequently, the pair has stabilised below 1.3353 and above 1.3290, indicating that the sellers are trying to gain momentum. In case that they manage to exert stronger downward pressures and the price breaks below the previous resistance level of 1.3261, the pair could decelerate down to 1.3214 and 1.3165 in extension.

In the opposite scenario, where the sellers finally resume their upward activity, they could push the price up to 1.3416.



Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.
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