Daily Market Analysis from NewForex Broker

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Thursday the pair continues its attempts to overcome the corner of 1.0625-55 which contains the further growth of a rate for the last two weeks. The trades proceed within levels of support at 1.0593 and resistance at 1.0653. The MACD histogram is in a positive zone and above the alarm line, the confirmed signal is on a purchase. Moving averages with the period of 20 and 55 went straight up. The Stochastic oscillator is in an overbought zone but grows and creates a similar signal, the %К line is higher than the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
On Thursday the pair is traded with a small advance in price and serious bullish potential continuing its growth which began on Tuesday. The levels of support and resistance are the relative marks of 1.2243 and 1.2334. For today we can observe on the four-hour chart moving averages which developed straight up, the MACD histogram is in a negative zone but above the alarm line and gives a signal on purchase. The Stochastics oscillator is in a neutral zone and also created a similar signal with the %К line higher the %D line.

Forex News from New Forex: Technical analysis of USD/JPY
On Thursday the trades on this currency pair proceed with reduction in price and obvious bearish potential within the closest levels of support at 113.66 and resistance at 115.27. The technical picture on the chart schedule differs in benefit of bears. The MACD histogram is in a negative zone and below the alarm line gives a signal for sale. The Stochastics oscillator in an oversold zone also gives a similar signal the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of USD/CHF
On Thursday the pair is traded with reduction in price and a bearish spirit of participants of the market. The rate remains within the closest levels of support at 1.0080 and resistance at 1.0191. The technical picture on the four-hour chart is obviously bearish and the market continues to test the current level of support. The MACD histogram is in a negative zone giving a signal for sale, the Stochastics oscillator creates a similar signal and is in an oversold zone.

NewForex Analyst
Sara Rosenstein

Fundamental analysis from New Forex: The Asia-Pacific region
The greenback continues its fall as the taken place Trump’s press conference left many questions without answers for example such as taxes and fiscal policy. The majority of the stipulated questions concerned world trade and a commercial competition were differently displayed in the markets today. So approximate data on rates for the Chinese export pushed the Asian markets up and competitive views of the pharmacological prices undermined the European funds. The MSCI index in the region grew up by 0.63% to its three-months maxima while Shanghai Composite extended for 0.24% and the Japanese Nikkei weakened for 0.92% as the yen got stronger against the background of weak greenback that limited competitiveness of the export companies. Wall Street indexes added from 0.3 to 0.5% while the Australian ASX lost 0.1% and the Canadian TSX added 0.4%. The American dollar continues to dive down showing especially high volatility in recent days. The index of US dollar lost 0.3% and fell to 101.520 — its three-months minima while profitability of treasury bonds fell to 2.334% — minima of October. The Australian dollar grows because of rally on the share of mining companies and here the Canadian dollar trades below most of competitors because of weak oil prices.

Fundamental analysis from New Forex: Europe
The growth of European stock indexes was on the сhopping bloc after Donald Trump during the press conference repeatedly emphasized the dissatisfaction with a price competition on drugs that led to fall of the European health indexes. For today the European health funds lost 0.74% whereas the all-European Stoxx 600 was closed with losses in 0.22%. Meanwhile, the British FTSE opens new record maxima with a surplus in 0.2%, French CAC lost 0.3% and German DAX weakened for 0.1%. Euro is traded at the level of 1.0602 against the American dollar while the British pound remains unstable to the competition however nevertheless could jump aside from its 10 weeks minima from $1,2048 to 1,2203 against US dollar. The Swiss franc still uses attention of hedgers and the recovered rally to gold that supports him above most of main competitors.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
The trades on Monday proceed with small decline in the rate during the Asian trading session and the price remains within the current levels of support at 1.0601 and resistance at 1.0647. General medium-term and long-term tendencies keep a bullish spirit since December 12 of last year that is confirmed by moving averages with the period of 20 and 55 which surely grow. For today depreciation of single European currency is expected in the short term. The MACD histogram though is in a positive zone that confirms the serious ascending potential of this market but began to reduce and left below the alarm line creating a signal for sale. The Stochastic oscillator decreases and creates a similar signal while the %К line is lower the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
The sterling has updated its historical minima against the greenback again. For today while opening the trades in Asia the fall constituted 101 point and the price continues to fall. At hour time frame the chart fell much below than moving averages with the period of 20 and 55. The MACD histogram is in a negative zone having fallen below the alarm line that is a management for an entrance to the market with short positions. The Stochastic oscillator decreases and enters an oversold zone having created a similar signal for sale while the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of USD/JPY
During the trades in Asia the Japanese national currency continued to strengthen against the greenback returning quotations to the level of the first days of last year’s December and now it is traded within the closest levels of support at 114.01 and resistance at 115.61. On the four-hour chart the technical analysis mainly bearish one which is confirmed by the MACD histogram which is in a negative zone and reached today the level below the alarm line that is a signal for dollar sale. The Stochastic oscillator decreases in an oversold zone and gives a similar signal.

Forex News from New Forex: Technical analysis of USD/CHF
On Monday, at opening of the trades in Europe, in the short term, the pair is traded with a small advance in price remaining within the closest levels of support at 1.0075 and resistance at 1.0167. The long-term trend remains bearish. On the four-hour chart the MACD histogram remains in a negative zone that indicates the remaining bearish potential of the market, but appeared to the area above the alarm line. The Stochastic oscillator also gives a signal on purchase of dollar against Swiss franc as the %К line is higher than the %D line.

NewForex Analyst
Sara Rosenstein

Fundamental analysis from New Forex: The Asia-Pacific region
Orders for the Japanese machine equipment fell to its minima of seven months that indicates the prospects of reducing capital expenditures. For today, indexes in the region are traded only with a minute increase accepting its attention comments from Trump in the relation of trade policy and performance of FRS officials this week. The MSCI index added 0.1% while the Japanese shares lost 0.3%. Wall Street indexes are traded in different directions: Nasdaq Composite added 0.5%, S&P 500 grew up by 0.2% and Dow Jones weakened for 0.3% because of the weakened demand for manufactured goods. The Australian ASX and TSX in Canada added 0.5%. In November orders for the Japanese machine equipment dropped by 5.1% in comparison with October indicators which considerably exceeded its average forecasts at 1.7%. The dollar grew up by 0.2% to the level of 101.390 relatively to its two-month maxima against a basket of principal currencies but it is traded more weakly than the Japanese yen, at the level of 114.24. The Japanese yen consisting in highly notable correlation with the stock index of Nikkei grew up against the majority of principal currencies having limited the trade potential of exporters. The Canadian and Australian dollars hold defensive positions against the background of low demand in the raw markets. The markets are concerned by the future inauguration of Trump during which the prospects of new administration trade policy can clear up including the relation of the Asian region and corresponding rates.

Fundamental analysis from New Forex: Europe
For today, the European stock indexes are traded quite inertly with a turn on bank shares and continuously growing British FTSE on the agenda. In the European markets with new forces there is a Brexit-panic connected with the speech of the prime minister of Great Britain, Theresa May approaching this week within which she will inflame the set of certificates towards «hard landing» of regional economy following the results of a gap many trade relations with the single market. Earlier on Friday the all-European Stoxx Europe 600 closed with growth at 0.6% while the European bank index grew up by 2% which was promoted by prospects of an interest rate development in the USA while the European index of car makers grew up by 0.8% having recovered after scandal over the Fiat Chrysler and the nature protection organizations. The chief executive of Fiat declared that the broken laws of emissions won’t have any influence on the purposes of the current business plan of the car maker. The British pound is traded at the level of its three-months minima because of feeling anxious about Brexit and speech of the Bank of England head Carney which will take place today and most likely will be bearish in the relation to monetary policy. The European currency weakened against most of its competitors and is traded at the level of 1.0610 against the greenback. The Swiss franc is still stable and received a boost for growth because of growing prices on gold which opened with a surplus in 0.5% today. This week world trade promises to be weak waiting for more exact reference points of development which can emerge after the inauguration of the newly elected U.S. President on Friday.

NewForex Analyst
Alex Vergunov

The Biggest Divorce of the year
This year the divorce proceedings between the U.K. and the European Union’s will begin. It’s the end of a four-decade relationship. What has happened? In June 2016, British voters insisted on the referendum ending up with a breakup. Still there’s no blueprint of how to unwind the relationships. What is going to happen next? The U.K. Prime Minister Theresa May set a deadline, after which the two sides are supposed to have two years to reach a settlement. It can easily drag on even to the next decade. The U.K. Prime Minister Theresa May hasn’t specified what she wants to achieve, but she has sent signals that her priorities are: immigration control, getting out of the European courts jurisdiction and cutting back or eliminating money to Brussels. She may even will to give up access to the bloc’s single market for goods and services. On the other side of the bottle, the EU leaders have warned Theresa May that she won’t be able to participate in tariff-free trade without allowing the EU citizens to work and live in any country that’s a member of the club. Showing that the government knows just what it’s up against, Brexit Secretary David Davis has described the talks the most «complicated negotiation of all time».

NewForex Analyst
David Fineberg

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Tuesday, the pair returned to growth after correction which was lower than 1.0600. Nevertheless by the opening of the trades in Europe the price remains within the strong level of support at 1.0586 and the current level of resistance at 1.0672. The market has a serious ascending potential and today its participants are in expectation of macroeconomic data from the German institute ZEW. On the four-hour chart the technical picture shows the expressed, bullish potential. The MACD histogram appeared in a positive zone and rises over the alarm line. The Stochastic oscillator is in an overbought zone and creates a signal on purchase.

Forex News from New Forex: Technical analysis of GBP/USD
On Tuesday this currency pair is traded with recovery after a yesterday’s gap down waiting for a speech of the British prime minister Theresa May who is to unveil the plan for a country exit from structure of the EU. Most of the markets participants expect tough rhetoric from the head of the government. It is expected that the prime minister will confirm readiness to offer access to the single market of eurozone that will cause a new wave of sales of the British national currency even in case of a release of the positive data of macroeconomic statistics confirming a steady position of economy in relation to «Brexit». The technical analysis on the four-hour chart is full of optimism. The MACD histogram and Stochastic create a signal on sterling purchase.

Forex News from New Forex: Technical analysis of USD/JPY
On Tuesday the trades on this currency pair proceed with clear advantage of bears. As for November, macroeconomic data on industrial production of Japan gave good support in annual and monthly terms to yen that is more than on 100 pips strengthened its line items against the greenback. In the short term the technical analysis of this market promises further reduction in price. The MACD histogram remains in a negative zone and below the alarm line that is a prerequisite for short positions. The Stochastic oscillator decreases creating a similar signal, the %К line is lower than the %D line. The current level of support at 112.25 and the level of resistance at 114.22.

Forex News from New Forex: Technical analysis of USD/CHF
The Swiss national currency fights back its line items at the greenback today. From the moment of trades opening in Asia the pair is switched from attempts to overcome the level of resistance at 1.0112 to testing of support at 1.0059. In the short term the potential of this market is characterized by clear advantage of bears. On the four-hour chart the MACD histogram continues to remain in a negative zone and gives a signal for sale. The Stochastic oscillator decreases approaching border of an oversold zone and similar signal as the %К line is lower the %D line.

NewForex Analyst
Sara Rosenstein

Fundamental analysis from New Forex: The Asia-Pacific region
This week the regional markets are still weak because of two large performances one of which will take place today and this speech of the British prime minister Theresa May concerning an exit from Brexit. Trumps is preparing his speech to address people at the end of the week within the inauguration. These days besides the fluent criticism of the tax plan of Ryan from Trump also undermined interest of participants of the markets in speculative trading. The regional index MSCI weakened for 0.1% while the Japanese Nikkei decreased by 0.4% having lost a bit because of the strengthened yen and is traded near its five-week minima. The Wall Street stock indexes were closed in different directions again: Dow lost 0.3% while Nasdaq and S&P added 0.5 and 0.2%. The Australian ASX weakened almost at 0.9% and the Canadian TSX at 0.1%. The greenback took defensive positions and is traded at the level of 114.200 against the JPY after recovering from half-month minima in 113.610. The Australian dollar which is sensitive to risks lost 0.1% against the greenback but is traded stronger than most of competitors against the background of bullish data from the real estate market while the Canadian dollar received a boost for growth because of the developed oil prices. For today oil is traded with a surplus in 0.3% in the markets for goods.

Fundamental analysis from New Forex: Europe
The European stock indexes weakened a little just before the speech of the prime minister of Britain Theresa May which will take place later on today. We expect that the performance will cause the spotlight to be shone on the plan of an exit from the EU which attracts significant risks for trade between Great Britain and the single market. According to early notes of Mae it won’t be realized: many industries will suffer. The all-European Stoxx 600 lost 0.2% while the British FTSE continues to grow and is traded near its recent record maxima because of the weakened pound sterling provided to goods of the British exporters, the most profitable prices from the point of view of the competition. Сonsumer spendings in Britain grew meanwhile according to a yesterday’s speech of the head of BoE Mark Carney that can serve as the soil for growth of households borrowings. The European currency is traded defensively but a little recovered from the early losses which were received at the beginning of the session — approximately in 0.38%. At the same time the British pound came off its half-month minima in 1.1983 against USD and is traded at the level of 1.2052 for today. The Swiss franc continues to grow and trades above most of competitors because of sensitivity to dynamics of risk in the markets which led gold to $1.20786 for ounce — to its highest rate in two months.

NewForex Analyst
Alex Vergunov

Lowering of sterling on Brexit anxiety; investors hope for Trump to clarify the situation
On Monday sterling slid to its three-month lows in Asia with investors again spooked by concerns over Britain’s exit from the European Union as U.S. policy uncertainty lingered ahead of the inauguration of President-elect Donald Trump. The regional share markets were really hesitant with MSCI’s broadest index of Asia-Pacific shares outside Japan with up to 0.09 percent. Japan’s Nikkei eased at 0.3 percent, while Australia added 0.5 percent. All the early action was in currencies where the pound became as low as $1.1983 and it is not seen the depths since the flash crash of October which was finished around $1.2175 in New York on Friday. It was last down 1.1 percent at $1.2044. Dealers undermined that the market was reacting in part to a report in the Sunday Times that U.K. Prime Minister Theresa May will use a special speech on Tuesday to signal plans for a «hard Brexit», quitting the EU’s single market to return control of Britain’s borders. Investors have been worried with such a decisive break from the single market would hurt British exports and drive foreign investment out of the country. Analysts at JPMorgan wrote in a note that it is impossible to say by how much a hard Brexit could weaken GBP, but we do not believe that a further 5-10 percent depreciation should be regarded as an extreme scenario when set aside the UK’s high dependence on foreign capital. The safe-haven Japanese yen was benefited by the flight from sterling, with the pound down 1.3 percent to 137.57 yen while the U.S. dollar dipped to 114.24. Currencies gyrating on very little volume as the trading was erratic. The dollar edged up 0.2 percent to 101.390 on a basket of currencies. Meanwhile the euro pared initial losses to stand at $1.0632.

NewForex Analyst
Michael Butnitsky

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Wednesday, dynamics of this currency pair growth became a bit slower. The market has updated its monthly maximum and now the trades proceed within the current levels of support at 1.0652 and resistance at 1.0713. In the long term the ascending tendency remains the same. The potential targets for long positions is the corner of 1.08 — 1.0860. The technical picture on the four-hour chart indicates the benefit of bulls. Moving averages are steadily grow with the period of 20 and 55. The price is above moving averages and remains in the ascending channel since the beginning of month. The MACD histogram is located in a positive zone and above the alarm line which indicates the signal to purchases. The Stochastic oscillator took a lead from the current correction and now is located in an average zone creating a signal for sale which is probably to appear a false one.

Forex News from New Forex: Technical analysis of GBP/USD
This week there was a partial turn of the descending trend in this market and the price has updated its monthly maximum having returned to the corner of 1.24-1.2430. Good macroeconomic data and public statements of the prime minister Theresa May who provided the plan of the country’s exit from the EU with separation of the markets acted as the main theme of an event. The technical picture on the four-hour chart indicates the accumulating ascending market potential, the MACD histogram appeared in a positive zone and continues to grow advancing the alarm line. At the same time the Stochastic oscillator was deployed in an overbought zone and creates an opposite signal.

NewForex Analyst
David Fineberg

Fundamental analysis from New Forex: The Asia-Pacific region
Donald Trump: «The strong dollar, in particular against the Chinese yuan kills our economy». Bearish notes considering the American dollar helped the Asian markets to feel their way and to make a start to November’s maxima thanks to deployment in some emerging markets. Trump’s comments helped to facilitate the pressure upon yuan and upon the Chinese shares that helped to suspend capital outflow from Asia. The common regional MSCI index grew up by 0.4% while the Japanese Nikkei added 0.45%. The Wall Street shares weakened against the background of the growing doubts in prospects of the stimulating policy of the newly elected president: losses constituted from 0.3 to 0.6% on the key stock exchange indexes. At the same time, the Chinese CSI 300 added nearly 0.6% having partially offset losses from last week. The greenback’s index decreased up to 100.64 against its main competitors having departed from its 2002 maxima which the greenback had the last time with the level of 103.82 about two weeks ago, on the third of January. The Canadian dollar became stronger thanks to the bullish prospects of monetary policy and the Australian dollar also grew up at the expense of China — the largest trading partner. Today we expect the decision on an interest rate from the Bank of Canada and also a number of comments on monetary policy from the chairman of U.S. Fed Yellen which can pledge the further directions for market trends on the above mentioned assets.

Fundamental analysis from New Forex: Europe
The European stock indexes are traded in flat against the background of bullish comments of the prime minister of Britain in the relation of prospects of the country’s depature from the EU. May noted that to weaken rigidity of market’s landing, the decision to bring up a final question of an exit for parliamentary vote is made. Besides, the prime minister noted that she intends to do everything possible to keep exclusive partnership with the European partner. The all-European Stoxx Europe 600 weakened at 0.12%, having restored 0.6% of early losses directly after Theresa May’s performance. For today the British FTSE 100 opened with losses in 1.5% because of the developed pound sterling while the German DAX 30 weakened at 0.2% and French CAC 40 lost 0.08%. Recently, the European bank and other cyclic shares rallied in order to promote growth of eurobonds fed profitability for financial incentives and deregulation of trading activities from new administration of the US. The British pound sterling grew up by 0.14% against other principal currencies having shared competitive positions with the European colleague who added 0.9% and is traded at the level of 1.0684 against US dollar. The Swiss franc became stronger against euro, yen and pound because of investors tendency to protect the assets from the current financial risks. Today we watch the European news at the head of which reading on unemployment in Britain and inflation in the eurozone.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Thursday, the single European currency is traded approximately at the level of closing last session when after the speech of the the Federal Reserve System head Yellen the greenback became a little stronger against the principal world currencies. In her speech Yellen confirmed the regulator’s intentions step by step in order to raise an interest rate but when and how they will do it she refused to specify. Thus, yesterday the chart on this currency pair was down beyond the ascending channel which can be seen in a four-hour time frame. However, during the Asian trading session, euro gradually began to return its lost line items. For now, concerning levels of support and resistance, moving averages have the period of 20 and 55. At the same time indications of technical analysis indicators indicates bearish succession of events. The MACD histogram remains in a positive zone that indicates that the market still keeps bullish potential but the indicator in general created a signal for sale of single European currency. The Stochastic oscillator is located in an oversold zone giving a strong signal on purchase as the %К line crosses the %D line top down as they leave a zone. It is to be recalled that in case of investment decisions adoption you should consider the press conference of the head of the ECB M. Draghi will take place today.

Forex News from New Forex: Technical analysis of GBP/USD
On the statements of the head of the Federal Reserve System Yellen during the yesterday’s press conference of the greenback regulator became a little stronger against the British pound. It removed all quotations in the corner of 1.2255-75 where it also continues to be traded on Thursday remaining within support levels at 1.2239 and resistance at 1.2333. At the same time the general potential of this market is rather bullish as the MACD histogram is located in a positive zone and the Stichastic oscillator is in an oversold zone at the stage of strong signal forming for Sterling’s purchase, the %D line cross %К line top down.

Forex News from New Forex: Technical analysis of USD/JPY
On Thursday the trades on this currency pair proceed with small reduction in price. Yesterday the greenback considerably became stronger against the Japanese national currency on statements of the Federal Reserve System head Yellen about step-by-step and multi-staged increase in the main interest rate. Unfortunately, she didn’t begin to discuss the question in details for example when the increase is expected, etc. that leaves the wide field for maneuver in economy for the regulator. On the four-hour chart the rate of currency pair is clamped between moving averages with the period of 20 and 55 which act as the current levels of support and resistance. The MACD histogram appeared in a positive zone and created a signal on purchase of the greenback. The Stochastic oscillator is in an overbought zone and also creates a similar signal.

Forex News from New Forex: Technical analysis of USD/CHF
By the end of last trading session the Swiss franc fall in price a little in relation to the greenback support to which was given by the head of the Federal Reserve, Janet Yellen who confirmed yesterday intention of the regulator step by step to raise the main interest rate. However, this event meanwhile didn’t change the general descending tendency which developed in this market during last month. On the four-hour chart the MACD histogram still remains below the central line that indicates the remaining bearish potential however now it began to weaken a little. The Stochastic oscillator is located in an overbought zone and creates a signal for sale of dollar while the %К line crosses the %D line from top down. The current levels of support and resistance are the following moving averages with the period of 20 and 55 between which the current rate of the currency pair was clamped between

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
Today the stock indexes in the region fell after the US dollar was recovered against the background of bull statements on behalf of U.S. Fed. Therewith the Ministry of Trade of China declared that China and the United States can solve properly any trade problems by dialogue and cooperation as the quarrel is unprofitable to both parties that also promoted strengthening of the American currency. The MSCI index of the region lost 0.4% while the Japanese Nikkei grew up by 1% against the background of the weakened yen. The Wall Street was closed in different directions: industrial Dow lost 0.1% while high-technology Nasdaq Composite added 0.3% and the blue chip index of S&P 500 was closed with a surplus in 0.2%. The Hang Seng index in Hong Kong dropped by 0.62% while the Chinese Shanghai Composite weakened at 0.13%. The Australian ASX grew up by 0.28% and the Canadian TSX lost 0.26%. The American dollar grew up by 0.32% against the basket of principal currencies and became stronger at the level of 101.22. The greenback showed very impressive rally at the beginning of the session against yen but then departed to the level of 114.50. The Australian dollar got the upper hand of today’s growth because of the growing demand for iron ore and shares of mining companies. The Canadian, on the contrary, took defensive positions because of the developed oil prices.

Fundamental analysis from New Forex: Europe
In Europe the stock indexes are traded in a flat at the same time there is observed a limited growth among bank and other cyclic shares and also steadier growth among mining companies and in section of the precious metals which are traditionally acting as the tool for hedging of financial risks. The all-European STOXX Europe 600 grew up by 1.6% while the main indexes are traded in different directions: the German DAX with a surplus of 0.8%, the British FTSE with growth of 0.4% and the French SAS with losses in 0.25%. However in the medium term it is possible to expect considerable improvements in the European stock market — after settling uncertainty around the stimulating Trump’s plans. At the same time support of China in the relation had more than ever and now the administration of the USA can expect surely the maximum return after raises this question once again. The European currency became stronger with a surplus at 0.12% against main competitors waiting for officials meeting of the European Central Bank who cut off the stimulating program last month and will leave monetary policy without any changes this time as it is expected. Meanwhile the pound sterling also grew up by 0.1% and is traded at the level of 1.2275 against US dollar after the Great Britain prime minister Theresa May which besieged panic in the market having promised to mitigate landing of the market due to parliamentary vote on Brexit and also vigilant participation of the government in preserving warm partnership with the single market. The Swiss franc is still stable at the expense of hedgers and trades above the majority of principal currencies.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
After Trump’s inauguration the American dollar loses its line items against the principal world currencies and first of all against single European currency. On Monday, the currency pair EUR/USD is traded with an advance in price and within the current levels of support at 1.0695 and resistance at 1.0756. The market has serious bullish potential that is confirmed by the MACD histogram which is in a positive zone and continues to grow up having risen above the alarm line that is a signal for purchase of single European currency. The Stochastic oscillator is located in an overbought zone and continues to grow having created a similar signal as the %К line is higher than the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
After Trump’s inauguration the American dollar loses its line items against the principal world currencies. The British pound sterling wasn’t an exception too. On Monday the trades on this currency pair proceed with an advance in price and clear advantage of bulls. So far the sterling is quoted within the closest levels of support at 1.2383 and resistance at 1.2483. The market possesses a serious bullish spirit that is visible on the example of the MACD histogram which is in a positive zone and continues to grow steadily having risen above the alarm line that is a signal for an entrance to the market with long positions. The Stochastic oscillator continues to grow and entered an overbought zone having created a similar signal as the %К line is higher the %D line.

Forex News from New Forex: Technical analysis of USD/JPY
After Trump’s inauguration the greenback loses the line items against the principal world currencies. The Japanese national currency isn’t an exception too. On Monday, the trades proceed with an obvious bearish spirit of the market participants. So far the currency pair USD/JPY is quoted within the current levels of support at 113.24 and resistance at 114.95. It is necessary to notice that alignment of forces in this market undergoes basic changes and the initiative passes to bears that can be seen on the example of the MACD histogram which fell to a negative zone and now is below the alarm line giving a signal for sale of the greenback. The Stochastic oscillator fell to an oversold zone and creates a similar signal as the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of USD/CHF
After Trump’s inauguration the American dollar loses its line items against the principal world currencies. The national currency of Switzerland became not an exception too. The trades on Monday continue within the bearish trend which was created at the end of December. During the Asian session the market already took place with level of support at 1.0000 which is also strong psychological mark. The MACD histogram indicates bears strength and intend «to press» further in order to create a signal for sale. The Stochastic oscillator is in an oversold zone and gives a similar signal as the %К line is lower than the %D line.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
Many of Trump’s election promises including decrease in taxes and increase in expenses on infrastructure can meet obstacles from the senate as the newly elected president as it was emphasized in the inauguration speech. In view of the fact that these promises promoted growth of dollar recently they also undermined of the force for today. The MSCI index grew up by 0.4% with a considerable surplus on the stock indexes of Wall Street which received a boost from weak dollar: technological Nasdaq added 0.28% and the blue chip index of S&P 500 grew up by 0.34% while Dow grew up by 0.48%. The Japanese Nikkei lost 1.1% because of the strengthened currency. The Australian ASX weakened at 0.7%, TSX of Canada added 0.9% because of growing prices for energy products. Profitability of 10-year bonds fell in the USA to 2.432% having risen for a short time to 2.513% on Friday which is the maximum on the 3rd of January. Two-year papers were more sensitive to bearish statements of FRS and fell to 1.180% having departed from three-week maxima of 1.250%. The American currency is traded at the level of 113.435 against yen with decrease by 1.1% and near its two-month maxima in 112.57. The Canadian and Australian dollars reached a defensive position.

Fundamental analysis from New Forex: Europe
Traders are hotly welcomed ultra-easy initiatives of monetary policy from officials of the European Central Bank considering as growth sign the fact that the Central Bank didn’t consider the prospect of amounts narrowing of the purchased assets that can demonstrate indirectly delay of inflation in the eurozone. The European stock indexes are traded mainly in the negative corner however among the main indexes the British FTSE grew up a little by 0.1% while German DAX lost about 0.1% and French CAC is traded in a flat. The all-European STOXX 600 opened with decrease in 0.15%. Among leaders there are falls of the company retail trade with losses about 0.4%. The European currency grows against American with a surplus in 0.4% to the level of two-month maxima in 1.0748. The British pound also got stronger against most of competitors having received a boost from consolatory comments of the prime minister concerning the mitigation prospects of landing from a gap with the EU. The British grew up by 0.5% against US dollar. Despite improvement of data on inflation, economic tone of the European Central Bank still didn’t change. But, it is worth believing, that very soon the Central bank will designate fresh monetary prospects for the single market.
NewForex Analyst
Alex Vergunov

Shareholders are waiting for details of Trump's management as the greenback loses its positions
On Monday, the greenback slipped during Asian trade with the euro being at the high during a month as investors padlocked an income on the greenback’s newfangled acceleration as they were waiting for the U.S. President Donald Trump to discuss specifics of development. The euro strengthened its positions at 0.4 percent during the day up to $1.07400 after prior ascending to $1.07460 which is the highest level since December 8. That fact sustained reducing the greenback against a currency basket, with the greenback index declined 0.4 percent during the day up to 100.37.

NewForex Analyst
Michael Butnitsky

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
Today the the market keeps a bullish spirit. The single European currency continues to strengthen against the greenback however at the trades on Tuesday growth was a little slowed down around 1.0770 and couple is traded within the closest levels of support at 1.0722 and resistance at 1.0762. The technical picture on the four-hour chart shows clear advantage of bullish moods. The chart rose above moving averages with the period of 20 and 55 and is within the ascending channel. The MACD histogram is in a positive zone that indicates good bullish potential of the market. However, the Stochastic oscillator left an overbought zone and created an accurate and strong signal for sale as the %К line crosses the %D line top down in case of an exit from an overbought zone. It follows thence we can expect correction of the price in the nearest future.

Forex News from New Forex: Technical analysis of GBP/USD
After noticeable rally on Monday, at Tuesday’s trades the British pound sterling is traded with a small decrease in quotations remaining within the closest levels of support at 1.2474 and resistance at 1.2531. The market considerably went above moving averages with the period 20 and 55 and now undergoes correction of the price. The MACD indicator confirms the serious bull potential of this market and shows a signal on purchase of sterling. At the same time, it is necessary to notice that the oscillator of Stochastics left a zone of a perekuplennost and shows a signal for sale — the line %К fell below the %D line. In case of adoption of investment decisions it is necessary to consider that today the Great Britain Supreme Court will announce the decision on whether the decision on the country exit from the EU could be made without any approval of Parliament.

NewForex Analyst
Sara Rosenstein

Fundamental analysis from New Forex: The Asia-Pacific region
Donald Trump broke off the agreement with the Trans Pacific partnership that partly undermined belief of investors in protectionist prospects for economy of the USA and aggravated opportunities for the global trade conflicts. On this background the new U.S. Treasury Secretary Mnuchin promised to fight against currency manipulations, unambiguously hinting at manipulations with the Chinese yuan. However, the region MSCI index grew up by 0.1% foretelling growth of trade activity in Asia after Trump’s inauguration which was held while the major global and economic reference points laid down to analysts. Meanwhile, Nikkei in Japan decreased by 0.4% because of the strengthened yen against the background of the growing production and export orders. Wall Street in defensive line items with losses from 0.15 to 0.25% on key indexes. The American dollar is traded at the level of two-week minima 112.50 against yen and the index of the American currency lost 0.1% staying up to a standard of four-months minima at 100.80. The Canadian dollar was beaten out in leaders against the background of increase in prices for WTI crude oil while the Australian deeply sank because of the unidirectional correlation with the American dollar which was injured because of conservative market moods.

Fundamental analysis from New Forex: Europe
The stock indexes grow in Europe because of TTP disorder but are limited by strong euro which received a boost from the weakened greenback. Cyclic and bank shares prevail among leaders of today’s growth but also transportation companies show a high surplus because of positive news from Britain where the prime minister May unveiled strategic plans of mitigation post-brexit landings of the country out of the single market. The all-European Stoxx 600 grew up by 0.1% while the British FTSE is traded in a flat and the German shares grew up by 0.3%. French CAC opened relatively with a gap and a surplus in 0.2%. The British prime minister Theresa May published the plan of strategic recovery of the country where improvement of infrastructure and investment climate innovative development while the trade is put in the forefront. The common currency became stronger at the level of 1.0758 against the greenback while the British sterling grew up to its six-week maxima in 1.2546 against US dollar on the assumption that the Supreme Court of Great Britain will oblige the government to pass the official decision on brexit for discussion in parliament. The Swiss franc is also strong because gold is traded about a two-month maximum in $1.2166 for ounce.

NewForex Analyst
Alex Vergunov

Unstable dollar, stocks restrained by protectionism of Trump
On Tuesday, the greenback struggled in Asia as the U.S. President’s concentration on production ahead of financial impetus twist the knife of his administration as it might be profitable to gain a competitive advantage over a weaker currency.
The dispute of trade wars came even as more information pointed to a gratifying recovery in activity throughout the entire world. Today, the review of Japanese manufacturing showed the fastest extension in almost three years as export orders increased. In exchange for the mobility emerging from Washington kept Asian stocks subdued in order to help safe-haven Treasuries and the yen.

NewForex Analyst
Michael Butnitsky

 

[Anna Mon]

Fundamental analysis from New Forex: The Asia-Pacific region
On Wednesday, the Asian stock markets were tightened to its three-months maxima while the greenback weakened because of the relation of policy of the U.S. President Trump growing uncertainty of the inducing investors to fix profit. The Asian markets are disturbed by the fact that now there will be more control and restrictions in the sphere of international trade from the USA. Especially it saddened economic prospects of the trans pacific partnership member countries as the agreement with which the newly elected president denounced this week earlier. The MSCI Index added 0.1% in the region and is traded at the highest levels since the end of October. At the same time the Japanese shares added 1.3% because of the data specifying export growth of the country becoming more active in December. Despite rally of such indexes of Wall Street as S&P 500 and Nasdaq the trading volumes were weaker as market estimates of corporate climate in the USA became more and more tense. The US dollar drifted much below the trade basket weighed competitors on Wednesday, becoming more active with concerns about implementation of protectionist measures from new administration. In the bond markets, the USA profitability of treasurer bonds grew to its two-year maxima in 1.22% in comparison with 1.15% on Tuesday reflecting strong economic prospects for the USA.

Fundamental analysis from New Forex: Europe
The profit season among European shares comes to an end however today the stock indexes of the single market still grow but in some sectors multi-day idle time which can testify to turns of long-term trends on some asset classes after Trump’s inauguration is found already. The all-European Stoxx 600 received a surplus in 0.2% relying on growth of Italian financial sector and also all-European index of the mining entities. Meanwhile, the prime minister of Greece declared that he doesn’t intend to accept one more aid package from the European creditors than once again called the question of efficiency the stimulating program of the European Central Bank. However most of investors disregarded an event. The pound of sterling grew up and is traded at the level of 1.2524 for US dollar after the Supreme Court of Great Britain decided that the government will need an approval of parliament for official start of the denouncements procedure of member agreements with the European Union. Euro is traded in defensive line items while the Swiss franc continues to grow at the expense of prolonged rally on the precious metals and conservative investment moods in the markets to an environment of operational risks hedging.

NewForex Analyst
Alex Vergunov

Asian stocks rose to its three-month jubilation, drift of the greenback
For today, the Asian stocks edged up to its three-month jubilation but the greenback facilitate as growing uncertainty over U.S. President’s policies which prompted some investors to take benefit on the greenback’s overnight bounce. European markets knew about uneasy mood in Asia, so they opened with a little change in key benchmarks. In Asia, outside Japan, the MSCI’s broadest index of Asia-Pacific shares increased at 0.1 percent to its highest levels since late October.

NewForex Analyst
Michael Butnitsky

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Wednesday the price returned to its support level finishing correction, thus today it is possible to consider an entrance to the market with long positions if the market won’t be able to overcome the current level of support at 1.0722. As resistance there is a level of 1.0762. In an economic calendar there are today important data on Germany which can give support to single European currency. Across the USA those aren’t expected so the currency pair has good chances for further growth. In the short term, according to data of technical indicators we can expect continuation of bearish correction though the market continues to keep the decent ascending potential. The MACD histogram is still located in a positive zone but is a little reduced. The Stochastic oscillator reached an oversold zone and creates a signal for sale.

Forex News from New Forex: Technical analysis of GBP/USD
The yesterday’s decision of the Great Britain Supreme Court didn’t gave a strong support to national currency but also didn’t press through the market as it was expected by supporters of bears. Thus today the sterling is traded within support levels at 1.2460 and resistance at 1.2533. The technical picture on the four-hour chart looks multidirectional. According to the MACD histogram the market still keeps bullish potential but at the same time the signal for sale is created. The Stochastic oscillator is located in an overbought zone and creates a similar signal, the %К line crosses the %D line top down and at the exit from an overbought zone.

Forex News from New Forex: Technical analysis of USD/JPY
On Wednesday the trades on this currency pair proceed with a small decrease in quotations if to consider the four-hour chart. During the Asian trading session of special volatility in the market it wasn’t observed and opening of the trades in Europe pair remained within the current levels of support at 112.67 and resistance at 114.21. The technical picture of this market indicates the fact warring parties which reached its parity, the MACD histogram was reduced to the central line. The price gradually leaves to the area between moving averages with the period of 20 and 55 which slow down the decrease. The Stochastic oscillator left an overbought and created a signal for sale.

Forex News from New Forex: Technical analysis of USD/CHF
On Wednesday this currency pair is traded with small increase in quotations in the short term. Special volatility in the market isn’t observed. Indicators of the technical analysis indicates good potential for the ascending tendency today. On the four-hour chart the MACD histogram remains in a negative zone and it means that bears still save the power and can increase in the future. However, at the same time we observe forming by the indicator of a signal for purchase. The Stochastic oscillator grows, entered an overbought zone and creates a similar signal. In the medium and long term in this market the descending trend remains. Moving averages with the period of 20 and 55 continue to decrease.

NewForex Analyst
Aaron Kaufmann

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Thursday the pair is traded in different directions within the current levels of support at 1.0725 and resistance at 1.0765. The rate is clamped between moving averages with the period of 20 and 55. On the four-hour chart the bullish spirit of the market participants is observed on a large scale. The MACD histogram is in a positive zone. It means that the market keeps the ascending potential. The Stochastic oscillator is located in the central area and grows giving a signal for the single European currency for purchase as the %К line is higher than the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
On Thursday after opening of the European trading session this currency pair differs in a strong overbought level at the trades. On the four-hour chart the stable ascending trend is observed in the short term. The chart is much above the moving averages with the period of 20 and 55 continuing to grow. As a result of the current rally the British pound considerably strengthened against the American dollar and returned to its month maxima. Today the market tests resistance around a mark of 1.2677 with support level at 1.2576. The MACD histogram is located in a positive zone confirming good bullish market potential and grows giving a signal on sterling purchase. The Stochastic oscillator came deeply into the an overbought zone and continues to give a signal for purchase as the %К line is higher the %D line.

Forex News from New Forex: Technical analysis of USD/JPY
On Thursday, the American dollar slightly strengthened against the Japanese yen despite increase in amount of foreign investments in the Japanese shares and bonds at the trades in Asia. During the trades continuation of this market consolidation in the corner of support at 112.68 and resistance at 113.79 is observed. The technical structure of the market indicates weakening of bearish moods of its participants that is confirmed by the MACD histogram. The Stochastic oscillator is in the central area and gives a signal on purchase of the American dollar against national currency of Japan.

Forex News from New Forex: Technical analysis of USD/CHF
On Thursday, continuation of the descending trend is observed at the trades since the beginning of the current year. On the four-hour chart moving averages with the period of 20 and 55 days steadily decrease within the descending channel. The technical structure of this market is characterized by obvious bearish potential the MACD histogram is in a negative zone periodically creating signals for sale. The ADX trend indicator reports a small delay of the current descending tendency in the short term. The Stochastic oscillator is located in the central area and also creates a signal for sale.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
For today, the trade in an Asia-Pacific region is quite saturated as it was promoted by yesterday’s progress in the European market and the US while the market with the industrial Dow Jones index for the first time punched the level in 20000. Because of the growing interest in risk, the market of precious metals was developed and now it falls. The MSCI index grew up by 0.8% to its four-months maxima while Hong Kong shares added 1.3% in South Korea and grew up by 1% and for 0.2% in Shanghai. The Japanese stock market added 1.6%. Density of trade is explained by a considerable surplus in shares of the American companies today and growth of orders for the Japanese export. Besides, interest in traditional assets is persistently maintained by protectionist moods of the American government. The US dollar tested just the opposite, negative consequences of protectionist prospects and the situation wasn’t corrected even by the growing profitability of two-year and ten-year treasury bonds. An index of the American currency at the level of 99.793. However, the dollar almost didn’t change against yen and is traded at the level of 113.375. The Canadian dollar is falling because of oil inventories growth in the USA while the Australian dollar is also settled in defense providing liquidity of shares of mining companies.

Fundamental analysis from New Forex: Europe
The European shares reduced the early growth which was supported by strong corporate data and also the protectionist policy of the American government is traded restrictedly. However, the surplus in bank shares and mining companies opens broad prospects for a short-term growth of cyclic shares. The all-European Stoxx added 1.4%, German DAX grew up by 1.8%, the Italian MIB for 0.4%, the French SAS — 1.2%, the British FTSE added 0.6%. The European banking sector extended in 3% and oil in the goods markets added 0.8% by 55.53 for barrel of benchmark Brent. These days the European shares look attractively and weak euro provides their liquidity. The European currency weakened and is traded at the level of 1.07542 against the American dollar having departed from the half-month maxima which was reached earlier on Tuesday. At the same time the pound sterling grew up and limited its growth of British shares against the background of Supreme Court decisions in the relation to the procedure of membership denouncement of Britain in the EU a little. The Swiss franc became stronger against the majority of currencies because of strong corporate reportings.

NewForex Analyst
Alex Vergunov


Shareholders took off most cash from U.S. stock funds since election
Investment Company Institute data for the latest week showed that shareholders sold U.S.-based domestic stock funds within the shortest possible time since equities leapt following the presidential elections. Recently we can observe the largest outflow for the funds since the election-week period ended November 9, when outflows reached $6.4 billion. The US President, Donald Trump came into office last Friday. Trump with his Republican party, which controls Congress, have promotes potential contemporary economic stimulus measures, such as tax cuts. U.S.-based fixed-income funds lost $13 in November. As for bond funds, they continued to bring money. Commodity funds, included those for buying gold, attracted $231 million as the data showed.

NewForex Analyst
Michael Butnitsky

 

[Anna Mon]

The greenback slips on lack moisture U.S. data, apprehensions over Trump trade policy
On Monday, the greenback fell off its one-week high against a basket of currencies after Treasury yields declined on data showing the U.S. economy growing rather slowly than it was expected. The greenback was down 0.6 percent at 114.410 yen after it rise on Friday to the level of 115.380, its highest peak since 20th January. The euro added to Friday’s modest gains and was last 0.3 percent higher at $1.0733. On Thursday the index of greenback against a basket of major currencies dropped to a seven-week low of 99.793. On Monday the index was down 0.3 percent at 100.320. This week, besides Trump, market focus was on monetary policy, with the Bank of Japan, the Federal Reserve and the Bank of England holding strategical meetings.

NewForex Analyst
Michael Butnitsky

Fundamental analysis from New Forex: The Asia-Pacific region
The stock indexes in Asia are weakened against the background of the first steps of Trump’s migration policy which were quite tough in relation to migrants: some citizens of the Muslim countries were temporarily forbade to enter the US territory even taking into account the fact that it is possible to receive permission for residence or the visa. Besides, concerns about the fact that the USA is going to enter a trade war with China that can also alter balance of forces to the growth of world economy. The MSCI index of the region dropped by 0.4%, the Japanese Nikkei dropped by 0.4% and the Australian shares lost more than 1%. The strong yen is limited by its competitive opportunities of the Japanese exporters. Electronic mini-futures of Dow and Nasdaq Composite lost 0.3%. For today the biggest market threat is the situation of Trump’s decision to go further on the way of protectionism without paying attention to economic policy. Last time the profitability of 10-year treasury bonds was 2.4658% in comparison with 2.481 on Friday. The index of the American currency tracking cost against the trade weighted analogs has lost about 0.3% having fallen to level of 100.21. The dollar dropped by 0.7% to level of 114.31 against the Japanese yen. Oil continues to fall against the background growth of inventories in the USA. In spite of the fact that news from the USA dominate these days, the meeting of the Bank of Japan officials can also be interesting to traders and long-term investors.

Fundamental analysis from New Forex: Europe
In general, European stock indexes are traded with lowering because of the strengthened common currency and Swiss franc against the American dollar while the weak economic background in Britain put the considerable pressure upon pound sterling. Inflation in Great Britain spurt into the lead, having overtaken the wages rise and employment with which the parity remained nearly two years. The all-European benchmark of Stoxx Europe 600 weakened for 0.3% whereas German of DAX decreased by 0.22%, French of CAC weakened for 0.17%, and FTSE in Britain added 0.25%. Among leaders of growth there are cyclic shares, and also the gold which added 0.2% to $1,19425 for ounce. The global test of cost of Brent oil showed decrease in 0.3% to $55.34 for barrel. The European currency is traded with a surplus in 0.2% to the level of 1.0733 against US dollar whereas the Swiss franc became stronger with a surplus in 0.1% against its main competitors having acted as currency shelter. The British pound fell against the background growth fall rates of the income and acceleration of inflation. The economy of Great Britain grew up by 2% in 2016 being movable only by strong consumer spendings.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
After rally of Tuesday, this currency pair is slowed down its growth a little and today it is traded within the closest levels of support at 1.0716 and resistance at 1.0794. Activity of the market participants trading for dollars can be characterized as moderate one. Let’s remind that tonight,Moscow time it is expected an announcement of the decision of FRS on an interest rate. The technical structure of this market differs in a bullish tendency. The MACD histogram is in a positive zone with a purchase signal. The Stochastics oscillator is in an overbought zone and also creates a similar signal. Moving averages with the period of 20 and 55 developed up and grow again.

Forex News from New Forex: Technical analysis of GBP/USD
On Wednesday the trades on this currency pair proceed with moderate activity of the market participants. The price remains within the current levels of support at 1.2523 and resistance at 1.2591. On the four-hour chart moving averages with the period of 20 and 55 were slowed down being close to crossing. The MACD histogram progresses along the axial line only slightly towering in a positive zone giving a purchase signal for sterling. The Stochastics oscillator entered an overbought zone and created not absolutely accurate sale signal of the British pound against the American dollar. Let’s remind that today it is expected the publication of the FRS decision on an interest rate and what is quite remarkable is the fact that most of analysts don’t dare to make the forecast — whether there will be an increase in a rate or monetary U.S. authorities will leave it at the current level. Thus alignment of warring parties forces remains still uncertain.

Forex News from New Forex: Technical analysis of USD/JPY
On Wednesday the pair is traded with an advance in price after yesterday’s bearish rally when the American dollar lost about 150 pips against the Japanese national currency. Since the beginning of the trades in Asia there is a systematic strengthening of the greenback and depreciation of yen. It is necessary to notice that according to the secretary of cabinet council of Japan Yoshihide Suga, who gave a press conference today, the monetary authorities of the country don’t try to devalue national currency at all and support its stable rate in the foreign exchange market. That was enough for a bullish impulse of this currency pair. The technical structure of this market indicates remaining potential of bears in the long term despite the purchase signals of such indicators of the technical analysis as MACD and Stochastics in the short term. Support level for today — 112.75 and resistance — 114.72.

Forex News from New Forex: Technical analysis of USD/CHF
At the trades on Wednesday the pair keeps bearish tendency remaining within a descending channel with support level at 0.9823 and resistance at 0.9935. Moving averages with the period of 20 and 55 continues its systematic decrease but today were slightly slowed down. On the four-hour chart the MACD indicator which is responsible for a discrepancy of moving averages indicates serious bearish potential of the market as the histogram remains in a negative zone and gives a signal for sale of the greenback against national currency of Switzerland. The Stochastic oscillator on the contrary grows being in the central area and creates an opposite signal as the %К line is higher than the %D line. Thus we can expect a rebound to resistance level before the initiative passes to bears again.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
In the markets currency wars expand and this time Trump’s administration became interested in manipulations of Japan and Germany devaluating currencies to improve trade prospects. At the same time, the American dollar fell to thirty-year minima in January in monthly expression after the American president noted essential benefits which purchase the countries due to devaluation of national currencies. The regional benchmark index of MSCI is still in flat while the Japanese shares also move according to a side trend. China still celebrates lunar new year but data for January showed increase in production and services in the market. Stock indexes of Wall Street for today: S&P and Nasdaq are in flat while industrial Dow lost 0.54%. The Australian ASX lifted 0.57 and the Canadian TSX relatively lost 0.12%. The US dollar slightly recovered against yen and traded at the level of 112.94 near intra-day minima in 112.08 having come off its maxima in 115.01 which was on Monday. The Canadian dollar is traded stronger than yen and the British pound but is the weakest than other principal currencies. The Australian dollar got the upper hand but yielded superiority to the American dollar. Today officials of Committee on credit and monetary policy will discuss the prospects of the US monetary policy and after FRS will make the statement with the decision on an interest rate. Most of economists don’t expect any changes this time.

Fundamental analysis from New Forex: Europe
Last month the European stock indexes lost a bit in its positions and yesterday’s fall to its week minima was the culmination of sag. The cause is Donald Trump’s protectionist policy undermining more and more trade prospects of the single market every day. However, most of economists consider the European shares to be still more liquid than American no less than for the medium term. The Pan-European benchmark of Stoxx Europe 600 lost 0.7% and is traded near its week minima having fallen at 1.1% last session. Meanwhile the data on Tuesday showed that inflation in the eurozone grew almost to the target objective of the European Central Bank that emphasizes acceleration of economic growth rates of the single market while unemployment punched its seven-year minima. The common currency is traded near its week minima against the American dollar at the level of 1.0793 and with losses at 0.14%. At the same time the British pound sterling was developed and falls providing high liquidity to shares of the City of London. The Swiss franc though is stable but managed to suffer from weak data on export for the last year. The European shares will grow up while the currency weakens and in the USA a situation is similar but the European papers are more liquid and therefore the single market still advances the USA in protectionist policy but nobody knows for how long it will continue.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
The trades on Thursday are characterized by good bullish market potential and bulls don’t stop trying to overcome the current level of resistance at 1.0794. The level of 1.0716 acts as support. The technical structure of the market on the four-hour chart indicates the benefit of customers. The price chart rose above moving averages with the period of 20 and 55 while the MACD histogram is in a positive zone and continues to grow giving a buy signal of single European currency. The Stochastic oscillator is close to enter an overbought zone and creates a similar signal as the %К line is located above the %D line and they grow relatively. The situation will be able to get support or to break during the press conference of the ECB head M. Draghi which is planned for today at 15:15 GMT.

Forex News from New Forex: Technical analysis of GBP/USD
On Thursday the British pound continues to strengthen after good rally on Tuesday and Wednesday. For today, as for the movement driver it is served by good expectations (macroeconomic forecasts) of analysts for key events in the economic sphere of Great Britain. Here and the decision of the Central Bank on an interest rate both amount of purchases of assets by the Bank of England and the quarterly statement on inflation in the country. The release of data is planned at 15:00 GMT. Indicators of the technical analysis characterize this market by the considerable ascending potential. On the four-hour chart the MACD histogram was fixed in the positive corner and today grows giving a buy signal of the British pound as well as the Stochastic oscillator which is in an overbought zone and at the same time creates a similar and accurate signal for buyers as the %К line crosses the %D line top down within an overbought zone. Marks are at the level of 1.2585 and 1.2725 and act as levels of support and resistance.

Forex News from New Forex: Technical analysis of USD/JPY
After the publication of a monetary U.S. authorities meeting results the American dollar appeared under pressure considerably losing its line items against the principal world currencies basket. The Japanese yen didn’t become an exception. On Thursday, the trades proceed with clear advantage of bears who at the opening of the trades in Europe «pressed through» this market lower than the level of support at 112.61. And now the following acts with support level at 111.91 and resistance at 113.62. The price chart keeps below moving averages with the period of 20 and 55. The MACD histogram remains below the central line and continues to fall with an accurate signal for sale of currency pair. The Stochastic oscillator is located in an oversold zone and also creates an accurate signal for sale.

Forex News from New Forex: Technical analysis of USD/CHF
On Thursday this currency pair continues to be traded in a descending channel remaining within the current levels of support at 0.9831 and resistance at 0.9903. Bears strong hold an initiative in the hand and apparently aren’t going to release it. The chart of quotations was fixed in a four-hour timeframe below moving averages with the period of 20 and 55 which continue to decrease. The MACD histogram steadily progresses below the central line and gives a sale signal for the American dollar against the Swiss national currency. The Stochastic oscillator decreases approaching an oversold zone by giving a sale signal of this currency pair.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
The stock indexes in the Pacific Rim grew to its October maxima while the American dollar grows against the background of optimistic officials statements. The U.S. Federal Reserve System is disposed to a fast interest rate development. However it didn’t occur this time. In other words, FRS takes a timeout on looking narrowly to the market prospects. The regional benchmark index MSCI escaped to its four-months maxima having closed with a surplus in 0.6% and the Japanese Nikkei closed with losses in 0.3% because of the strengthened currency. Wall Street indexes also extended today: Dow added 0.15%, Nasdaq grew up by 0.5% while S&P 500 closed with absolutely small surplus in 0.03%. The American currency is traded at the level of 113.28 against yen while the index of US dollar fell by 99.75. The Australian dollar also jumped up to almost three-months maximum in 0.7648 against US dollar after Australia published the biggest trade surplus in December. The Canadian dollar also became stronger against the background of consumer spendings growth and even despite the weakened oil lost 0.4% for barrel on futures of Brent.

Fundamental analysis from New Forex: Europe
The European stock indexes developed and grew against the background of an economy industrial segment growth including amounts of industrial inventories and shares of miners grew that in an essential measure was promoted by strong corporate results in Europe and China — the largest consumer of metals. As a result, shares of miners showed the largest growth among other sectors, having added 1.6% in general. On this background the all-European benchmark index of Stoxx Europe 600 grew up by 0.2%, and the main national stock indexes were placed in the positive territory in the range of 0.1-0.3% of growth respectively. The European currency became stronger at the level of 1.0784 against the American dollar having jumped aside its recent minima in 1.0730. Earlier the common currency grew to the level of 1.08125 after Trump’s administration charged some markets of intended currency devaluation for the purpose of trade prospects improvement. The British settled in the negative territory as the leader of today’s fall and CHF is stabilized against the background of the weakened interest in hedging of financial risks.

NewForex Analyst
Alex Vergunov

Fed leaves interest rates unaffected
On Wednesday, in the first meeting since The US President Donald Trump took office, the Federal Reserve System held interest rates constant but painted a relatively upbeat picture of the U.S. economy that implied it was on track to tighten monetary policy this year. The U.S. regional bank said job gains endured stable, inflation had increased and economic confidence was increasing, although it gave no firm signal on the timing of its later rate shift. The Federal Reserve System policymakers are still waiting for the clarity on Trump’s economic policies.

NewForex Analyst
Michael Butnitsky

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
The American dollar this week is traded in different directions against the principal world currencies and began to lose the line items a bit against single European currency. On Monday the currency pair of EUR/USD is traded with an advance in price and now it is within the ascending channel and the current levels of support are at 1.0751 while resistance is at 1.0793. The market has serious bullish potential that is confirmed by the MACD histogram on the four-hour chart which is in a positive zone but began to be decrease having fallen below the alarm line which is a sale signal of single European currency in the short term. The Stochastic oscillator is located in an overbought zone and slowed down its growth being at a stage of forming a similar and strong signals as the %К line crosses the %D line top down at the exit from an overbought zone. It is necessary to wait for the adoption of investment decisions signal.

Forex News from New Forex: Technical analysis of GBP/USD
On Monday the trades on this currency pair proceed with a small reduction in price after bearish rally on Friday. So far the sterling is quoted within the closest levels of support at 1.2434 and resistance at 1.2510. Wounds possesses a moderate bearish spirit that is visible on the example of the MACD histogram which is in a negative zone and continues to go down having fallen below the alarm line that is a signal for an entrance to the market with a short position. The Stochastic oscillator progresses in an average zone having created a similar signal as the %К line is lower than the %D line crossing it top down.

Forex News from New Forex: Technical analysis of USD/JPY
On Monday the trades proceed with an obvious bearish spirit of the market participants. So far the currency pair of USD/JPY is quoted within the current levels of support at 112.26 and resistance at 113.10. It is necessary to notice that alignment of forces in this market undergoes basic changes and the initiative passes to bears that can be seen on the example of the MACD histogram which fell to a negative zone and now it is below the alarm line giving a sale signal of the American dollar. The Stochastic oscillator is in the central corner and creates a similar signal as the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of USD/CHF
The trades on Monday continue within the bearish trend created at the end of December and during the Asian session on Monday the market remained within a descending channel and within the closest levels of support at 0.9888 and resistance at 0.9954. On the four-hour chart the MACD histogram indicates potential of bears but began to weaken gradually and today the indicator creates a sale signal. The Stochastic oscillator is in an oversold zone and gives a similar signal as the %К line is lower than the %D line.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
The stock indexes grow in Asia correlating with growth of the American funds which received a notable boost in general prospects, bearish boost for dollar, in monetary policy of U.S. Fed. Bank shares of Wall Street got the upper hand as Trump attended to prospects of world finance having expressed intention not to allow the next financial crisis. The regional benchmark of MSCI added 0.3% where Australia grew up by 0.1%. The Japanese Nikkei added 0.2%. The prime minister of Japan Shinzo Abe will meet Trump on February 10 and 11 trade and currencies on agendas. Shares of JPMorgan Chase were closed with a surplus in 3.1% having pushed the banking sector S&P to a surplus in 2.6%. At the same time the industrial Dow Jones index grew up by 0.94% and technological added Nasdaq 0.54%. Friday data on number of workplaces in the USA showed growth considerably bigger than it was expected on January after civil engineering firms and the companies of retail trade increased hiring. However the wages rise is still slowed down. The American dollar weakened against the Japanese currency and is traded at the level of 112.48 yens having closed last week with losses of 2.33% near its six-months minima. The Canadian became stronger after Trump noted remarkable investment prospects of neighbors. The Australian dollar is in full defense that provides the Australian funds an essential impulse stimulating growth of the export-oriented companies. In the spot markets gold added 0.3% reflecting interest of large players in transactions of hedging and diversification.

Fundamental analysis from New Forex: Europe
Comparison with other countries of the eurozone showed recently that the Italian economy grew up too slow as rates entered the eurozone and the gap with other countries which already came back to pre-crisis level only increases. In other words, news from the European periphery unfavourable though the Italian economy unique who dropped out of growth. Even Greece published GDP growth for 4% since 1998. Italy lost 0.4%. Germany added 26.1%. Just feel dispersion. The European stock indexes are traded without pronounced long-term trend as a result of the condensed uncertainty in the foreign exchange markets and in fiscal policy of the USA that doesn’t force investors to hedge portfolios. On this background gold also came out a flat so for many there is a sense today to observe movements in the spot market of precious metals. For today the European currency strengthened against the American dollar at the level of 1.0782 while the British pound got the upper hand of the foreign exchange markets having received a surplus against the background of updating Brexit process within which committee of the House of Commons and consequently also oppositional politicians will be able to make proposals on amendments to the relation of an order of carrying out the future vote of parliament on denouncement of member agreements from the EU. The Swiss franc as one would expect is stable against the background of the growing demand for gold and also considerable achievements in the banking sector which received a surplus against the background of Trump’s statements reflecting tendency to struggle with the prospects of growth of financial instability which can develop into the next crisis.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
The single European currency loses its line items and the initiative in the market comes over the American dollar. Yesterday Stochastic formed a distinct sale signal so the majority of investors followed it resulting in bearish movement throughout the duration of trading session. As a result, the pair overcame support and grew out of the ascending channel. Today the trades proceed with moderate lowering and the price remains within the current levels of support at 1.0685 and resistance at 1.0748. The technical structure in a four-hour timeframe is mainly bearish one. The MACD histogram appeared in a negative zone decreasing with a sale signal. The Stochastic oscillator is decreases and has formed a similar signal as the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
On Tuesday, the trades on this currency pair proceed with an obvious bearish spirit of the market participants. The British pound has already been weakening for a fourth session in a row since the moment when the Bank of England voted unanimously for keeping an interest rate at the current level. The price fell below moving averages with the period of 20 and 55, so today the trades proceed within the closest levels of support at 1.2414 and resistance at 1.2528. In the short term, the technical structure of the market hasn’t been determined yet. According to the indications of the technical analysis, bulls exhausted the potential while bears haven’t gained enough strength yet therefore the distinct signals at the moment can’t be observed. Thus we prefer to stay out of this market until the force of warring parties is revealed.

Forex News from New Forex: Technical analysis of USD/JPY
On Tuesday, in Asia this currency pair is traded within the developed descending trend and now the price remains within the current levels of support at 110.97 and resistance at 112.58. The market fell below moving averages with the period of 20 and 55 that assumes its further decrease. According to the indications of the technical analysis, bears continue to retain an initiative. On the four-hour chart the MACD histogram is located in a negative zone and it has created a sale signal. The Stochastic oscillator is in an oversold zone and it gives a buy signal which can be false. Thus we prefer to be out of the market until warring parties force identification.

Forex News from New Forex: Technical analysis of USD/CHF
On Tuesday, the trades on this currency pair proceed with a substantial increase of the price and a bullish spirit of the market participants. Since Asian trading session opening the greenback has certainly been strengthening against the Swiss national currency. On the four-hour chart we see that the price went to the corner above moving averages with the period of 20 and 55, so now the trades proceed within the current levels of support at 0.9953 and resistance at 0.9997. According to the MACD indications, bears exhausted their potential and an initiative is about to go to bulls as the histogram was reduced to a minimum and can pass into a positive zone. The Stochastic oscillator is in the central corner and it grows giving a buy signal for the greenback against the Swiss franc.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
The stock indexes in an Asia-Pacific region are weakening against the background of the hedge oriented investment moods in the markets inclining save haven currencies such as Japanese yen and Swiss franc. At the same time forecasts for prospects of the Chinese economy polarized analysts: one expect growth of currency holdings this month against the background of the international currency exchange control toughening while others doubt relevance of similar forecasts and consider that allowances will continue to fall. MSCI benchmark index on the Pacific Rim lost 0.15% and the Japanese Nikkei lost about 0.45% as the strong yen undermined prospects of national exporters. The Chinese shares are traded in flat according to the CSI 300 index. The Wall Street lost 0.2% being led by the energy sector which was injured because of the weakening oil prices and bargain for fresh economical and political decisions from the president Donald Trump. Only the Australian ASX was closed with a surplus — increase in 0.11-%. The Canadian colleague TSX lost 0.13% like the American Dow Jones because of the weakened energy costs. The American dollar added 0.1% against yen and is traded at the level of 111.83. However the yen trades above the majority of principal currencies today. The US dollar index also grew up by 0.1% and remains at the level of 99.909. The Australian dollar lost 0.1% and fell to the level of 0.7652 against US dollar. The New Zealand dollar jumped up for 0.6% to its three-months maxima in 0.7368 against the greenback. Later on today the Australian Central Bank, as expected, will keep interest rates on hold at record-breaking low level in 1.5%.

Fundamental analysis from New Forex: Europe

Decreasing of European shares gave a flat tire to the president of France at the wrong time that at the background of the beginning of the right National Front company which is headed by Marine Le Pen who opposes globalization and denouncement of member agreements with the European Union in particular. At the same time, the IMF predicted surplus for the Greek budget from 1.5 to 3.5% relatively by 2020 specifying the strong prospect of the European periphery recovery. Most of the IMF directors were equally of the opinion that further fiscal consolidation isn’t necessary to Greeks any more considering impressive results of reforms for today. However, at the suggestion of the Managing Director of the International Monetary Fund it was decided to allocate one more tranche in 86 billion euros in the third quarter this year to strengthen the acquired potential including the expand of a tax base according to the PIT and to rationalize pension expenses making room for the low tax rates and benefits for poor population stratums. The common currency lost for 0.2% and fell to the level of 1.07245 against US dollar. On Monday, euro lost 0.7% in intraday expression and 0.3% following the results of closing. For today the Swiss franc fell against the background of gold prices turn and lost 0.3% while the British pound trade above the majority of principal currencies. The situation in Europe is ambiguous: on the one hand, news from Greece demonstrate strengthening of the periphery; on the other hand — strengthening of euro against the background of weak US dollar undermines fiscal initiatives of the European Central Bank and supports oppositional rhetoric in France.
NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Wednesday, the single European currency continues to lose its line items against the greenback. Today the EUR/USD currency pair has resumed its attempts to test support in the corner of 1.0650/60. Looking back, the last time it happened on January 30 when the price was falling to 1.0619. However, bears didn’t manage to fix below this area. The market technical structure is mainly bearish. On the four-hour chart the MACD histogram fell to a negative zone below the central line and it gives a sale signal. The Stochastic oscillator decreases and creates a similar signal as the %К line crosses the %D line top down. Moving averages with the period of 20 and 55 days decrease with crossing down.

Forex News from New Forex: Technical analysis of GBP/USD
Yesterday, on Wednesday the pair returned to the level which it possesed at the end of the last week trades. Today, since the beginning of an Asian session it has been trading within the nearest support at 1.2479 and resistance at 1.2527. The rate is clamped between moving averages with the period of 20 and 55 days. The rate acts as the levels of support and resistance. In the short term, the technical structure of the market is not obviously determined. The MACD histogram remains in a zone below the central line and it indicates preservation of a certain potential for bears. Still it is gradually reduced and it gives a buy signal. The Stochastic oscillator left an overbought zone and created an accurate sale signal for the British pound. In such a way, the warring parties force hasn’t been shown yet. It makes us remain out of this market for some time.

Forex News from New Forex: Technical analysis of USD/JPY
On Wednesday, the trades on this currency pair follow different directions but the price remains within the limits of the next levels support at 111.78 and resistance at 112.41. Meanwhile, the market remains below moving averages with the period of 20 and 55 days that implies bears initiative preservation while the MACD histogram was reduced to the central line indicating the fact that bears have almost exhausted their potential. The indicators of the technical analysis, such as Stochastic oscillator and moving average convergence/divergence oscillator «MACD» show uncertainty in the market and the fact that force of warring parties haven’t been shown yet makes us stay out of this market for today.

Forex News from New Forex: Technical analysis of USD/CHF
On Wednesday, the trades on this currency pair proceed with a small bullish spirit of the market participants and the price remains within the current levels of support at 0.9920 and resistance at 1.0012. It is worth to note that according to the display numbers of the technical analysis indicator «MACD», if to be specific, according to its histogram, the market gradually gains the the growth potential. In general, the histogram appeared in a positive zone and it continues to grow while the indicator created a buy signal for the greenback against Swiss franc in the short term. The Stochastic oscillator is in the central corner having created a similar signal and it continues to grow. In the long term, the moving averages with the period of 20 and 55 days have slowed down their decrease and began to increase.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
Today, asian shares trade slightly below four-months maxima while the European currency was undermined by ambiguous prospects of Trump’s decision on foreign policy and the future presidential elections in France during which conservative leader François Fillon yielded a position to centrist and extreme right candidates so that fact prompted profitability of the French national bonds. The MSCI regional benchmark index grew up by 0.1% at the end of trade having carried out the most part of session in the negative territory. The Japanese Nikkei index grew up by 0.5%. In Wall Street there is observed a surplus most of all in technological sphere by Nasdaq which added 0.2%. Growth of S&P 500 was limited by weak oil prices and constituted only 0.02%. Dow also grew up by 0.2%. The Australian ASX added 0.52% and the Canadian TSX grew up by 0.27%. The American dollar weakened against yen after the moment when Trump strictly scarified currency manipulations of the Bank of Japan, so now it is traded at the level of 112.35 near its four-months minima. The Australian dollar continued to grow against most of competitors and is traded at the level of 0.7634 against the greenback with a 0.17-% surplus. The Canadian colleague also strengthened against the American dollar at the level of 0.7591 with a surplus in 0.13%. The Chinese yuan weakened a little after the data showed an unexpected fall of China currency holdings in January, for the first time within the last six years. This situation appeared to be the same as some economists supposed it because of currency exchange control in the global financial markets toughening.

Fundamental analysis from New Forex: Europe
The stock indexes in Europe grow restrictedly because of political environment in France limiting investment prospects of the country. Financial scandal over the former leader of a race — the conservative Fillon who displaced final prospects for benefit of the centrist Macron on the one hand and the extreme right anti globalist opposing the EU and Marine Le Pen on the other hand. However, the European shares nevertheless grew led by mining and financial sectors. The all-European benchmark index Stoxx 600 grew up at 0.5%. The British FTSE is in a flat. The Norwegian insurer Storebrand showed the largest growth of index with a surplus in 6.9% to nine-year maxima. The French banks weakened because of the sovereign bonds growing profitability. The European currency weakened at 0.6% against the American dollar and now it is traded at the level of 1.0682. The British pound is in a defensive line items against the background of fresh updating Brexit problems and Swiss franc which went to deaf defense weakening against the majority of principal currencies and being traded at the level of 1.0006 against the greenback. The Swiss currency is traded poorly this week because of new interest towards risk which is beating out gold back in the descending tendency.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Thursday the pair follows different directions within the current levels of support at 1.0641 and resistance at 1.0701. The rate fell below the moving averages with the period of 20 and 55. On the four-hour chart the bullish spirit of the market participants is observed. The MACD histogram is in a negative zone. It means that the market keeps bearish potential. The Stochastic oscillator is located in the central corner and it decreases giving a sale signal of the single European currency as the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
At Thursday’s trades, after the European trading session opening, this currency pair keeps raising. In the short term, the ascending trend is observed in the four-hour chart. The chart rose above the moving averages with the period of 20 and 55 and it continues to grow. Today the market tests resistance in the range of 1.2575 mark with the support level at 1.2504. The MACD histogram stays along an axial line. The Stochastic oscillator is in the central corner and it gives a sale signal as the %К line is lower than the %D line.

NewForex Analyst
Sara Rosenstein

Fundamental analysis from New Forex: The Asia-Pacific region
The stock indexes in Asia grew to its year and a half maxima among which the Chinese indexes were in the lead with the widest separation from other Asian colleagues having developed after long stagnation in trade. At the same time the American dollar strengthened against the background of the growing instability in Europe and the European funds received a quite good surplus because of weak currency. For today the all-European benchmark index of MSCI on the Pacific Rim added 0.4% to its three-annual maxima where the markets of Hong Kong and China in general were the most effective. The Japanese shares also remained in the center of attention because of a meeting between the U.S. President Donald Trump and the prime minister of Japan Shinzo Abe on Friday. The US dollar is traded at the level of 100.31 against main competitors according to the trade weighted index while the Japanese yen also received an essential surplus because of the growing interest in hedging of financial risks. The Australian and Canadian dollar became stronger against European currencies but are traded more weakly in an Asia-Pacific region.

Fundamental analysis from New Forex: Europe
In Europe shares are traded with a surplus thanks to weakening interest towards single and also to a number of local sovereign currencies but are significantly limited to cool political problems in France which underwent to threat with an exit from the European Union. At the same time in Great Britain the tax share grows to its highest levels since 1986 in compliance with data of Institute of financial studies. Higher income in the budget from taxes and low growth rates will promote formation of these indicators according to data of the think-tank. The consumer price index grew to 1.6% in annual expression in comparison with 1.2% the previous year according to data of Management of national statistics. The common currency weakened at 9 points against the American dollar and is traded at the level of 1.0682 that promotes growth of the European funds showing the most expressive results in industrial and financial segments. Meanwhile, the pound sterling shows potential to growth against the background of other regional currencies while the Swiss franc weakens because of the growing interest towards risk in the European region.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Friday the pair is traded with a small lowering, remaining within the closest levels of support at 1.0642 and resistance at 1.0695. The single European currency couldn’t keep its positions higher than the level of 1.0700 resulting in domination of bearish investors’ moods in the market so the price fell to the corner of 1.0650. The technical analysis «MACD» indicator went to a negative zone below the central line and today it continues to decrease creating a sale signal. Staying in an oversold zone, the Stochastic oscillator has also created a similar signal as the line %К is below the %D line. In such a manner we observe greenback strengthening against the main world currencies. Yesterday the good macroeconomic data on the USA led to the greenback demand renewal. The number of basic applications for unemployment allowance in the USA was reduced much more than it had been expected by the analytics, let alone positive comments of the Federal Reserve Bank head in St. Louis, James Bullard. It should be noted that today there is an extra economic summit of the European Community countries. The news from this summit can have a significant impact on the single European currency and it lead to volatility splash in the market.

Forex News from New Forex: Technical analysis of GBP/USD
Yesterday, the greenback strengthened against the British pound in trading. The currency pair GBP/USD lost about 70 pips and today the pair is traded with a slight price increase in Asia while the sterling returned a bit of its line items. The technical structure of the market indicates the loss of bears potential while bulls didn’t gain it yet. In such a manner, the force of warring parties remains unclear in the short term. On the four-hour chart the MACD histogram was reduced to the central line and at the moment it doesn’t create an accurate signal. The Stochastic oscillator is in an oversold zone and gives a signal to sale of the British pound against the greenback. However, today the sterling can garner support from the quarterly publication considering national economy growth rates as on January from NISER by the end of the trading day.

Forex News from New Forex: Technical analysis of USD/JPY
Judging by the trades on Thursday, the greenback has considerably strengthened against the Japanese national currency. Yesterday, good macroeconomic data on the USA led to the greenback demand renewal. The number of basic applications for unemployment allowance in the USA was reduced much more than it had been expected by the analytics, let alone positive comments of the Federal Reserve Bank head in St. Louis, James Bullard. On Friday the trades continue with the same bullish mood of the market participants within the closest levels of support at 112.72 and resistance at 113.83. According the technical analysis indications, in the short term bulls steadily accumulate the potential for the further growth. On the four-hour chart, the MACD histogram appeared in the area above the central line and it continues to grow giving a buy signal to the greenback. The Stochastic oscillator is in an overbought zone and it creates a similar signal as the %К line is located above the %D line. It is worthy of note that the price chart went to the corner above moving averages with the period of 20 and 55 days and it confirms the growing potential of bulls.

Forex News from New Forex: Technical analysis of USD/CHF
Judging by the trades on Thursday, the greenback has considerably strengthened against national currency of Switzerland. Yesterday, good macroeconomic data on the USA led to the greenback demand renewal. The number of basic applications for unemployment allowance in the USA was reduced much more than it had been expected by the analytics, let alone positive comments of the Federal Reserve Bank head in St. Louis, James Bullard. On Friday, the trades continue with a moderate advance in price within the closest levels of support at 0.9963 and resistance at 1.0070. The technical structure of this market indicates benefit in favour of bulls in the short term. The price chart progresses above moving averages with the period of 20 and 55 days. The MACD indicator rose to the corner above the central line and continues to grow having created a buy signal of the greenback against Swiss franc. The Stochastic oscillator is in an overbought zone and also continues to grow giving a similar signal.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
The stock indexes in Asia lingered on the level of year and a half maxima against the background of the fresh trade data from China which showed almost 8% of surplus on export and 17% on import last month. Also quite firm growth is observed both on Wall Street and in Europe emphasizing the widest interest in shares and stock markets in general. The widest benchmark index of the region MSCI grew up by 0.5% and received a 1,5% surplus this week while the composite index of Shanghai grew up only by 0.5%. This week the Japanese Nikkei added 2.5% thanks to the weakened yen and added 2.4%. Three main indexes of Wall Street are near its record maxima after Trump promised to disclose details of tax projects within the next several weeks and as it is expected will open the strongest prospects for growth of the American funds. Thanks to the strongest data from the labor market which showed decline in demand for unemployment benefits to 43-year minima, the US dollar grew up by 0.1% against a basket of the trade weighted competitors and also at 0.8% for this week and for 0.4% against the Japanese colleague having become stronger at the level of 113.75 with a surplus which was more than 1 this week. The Australian dollar grew up by 0.2% against the greenback and was stabilized at the level of 0.7651 supporting optimistical forecasts of RBA for bullish tendencies in monetary policy.

Fundamental analysis from New Forex: Europe
In Europe the stock indexes grow thanks to strong corporate profits in energy and also bank and pharmaceutical sectors with the growing US dollar which took away the European colleague in defensive line items. This action opened the broadest prospects for the European stock market. The French bank — second-large among commercial in the country, became the leader of the European growth on Thursday having added 11.6%. The stock markets of Europe grow actively because of weak euro: the European benchmark Stoxx 600 added 0.8 and finished its two-day growth at the level of two-week maxima. German DAX grew up by 0.9% and the German blue chip index, according to the main investment strategist Christian Kaler, can grow by 8% to record-breaking high levels this year that is promoted by the solid corporate income and economic growth in regions that can compensate even policy risks. Revenue of telecommunication services was reduced less last year than it was expected and firmer Internet and mobile sales are predicted. Here the European index of the mining industry lost 0.1% against the background of inefficiently wide offer which entered the return correlation with the fallen copper prices and nickel. Euro remains under pressure of policy risks in France but at the same time is stable and is traded around the level of 1.0655 against the greenback having managed to lose a little more than 1% this week. However, criticism in relation to currency manipulations in the global markets from new American administration gaining steam, the rate of such currencies as euro, yuan or the Japanese yen will disperse — it is inevitable and therefore traders and investors shall be very vigilant in relation to such news. Let’s remember at least how the recent criticism from the new U.S. Treasury Secretary Mnuchin affected surplus of currency holdings in China.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
This week there is an amid mixed trading concerning the greenback against the main world currencies. The greenback began to lose its positions a little against the single European currency. On Monday, the currency pair EUR/USD is traded with an advance in price and for a while it stays within the current levels of support at 1.0646 and resistance at 1.0693. In the long term, the market keeps bearish potential and it is confirmed by the MACD histogram on the four-hour chart which stays in a negative zone. It started to reduce a little having risen above the signal line which is a buy signal for the single European currency. The Stochastic oscillator is located in the central corner and it grows, giving a similar signal as the line %К is higher than the %D line.

Forex News from New Forex: Technical analysis of GBP/USD
On Monday, the trades on this currency pair proceed with a small advance in price during the Asian trading session. Meanwhile, the sterling is quoted within the closest levels of support at 1.2485 and resistance at 1.2602. According to the MACD indications on the four-hour chart, the force of warring parties remains undetected as its histogram graded up with the central line and the indicator doesn’t give a certain action signals. The Stochastic oscillator progresses in an average zone and creates a buy signal as the %К line is higher than the %D line.

Forex News from New Forex: Technical analysis of USD/JPY
On Monday, the trades proceed with an obvious bearish spirit of the market participants. Meanwhile, the currency pair USD/JPY is quoted within the current levels of support at 113.25 and resistance at 114.09. It is necessary to notice that alignment of forces in this market underwent changes and the initiative stays at bulls that can be seen in terms of the MACD histogram which rose in a positive zone. Now the histogram is below the signal line and gives a sale signal for the greenback against the Japanese yen. The Stochastic oscillator fell to the central corner creating a similar signal as the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of USD/CHF
On Friday, the Swiss franc loses its positions against the greenback at the trades in Europe. The investors’ mood is characterized by moderate bullish potential, at the same time, the price remains within the current levels of support at 0.9984 and resistance at 1.0040. According to the indications of the technical analysis, for example the MACD indicator, bulls «pick up steam» on the four-hour chart as the histogram is at the growth stage and it gives a buy signal. The Stochastic oscillator is in the central corner and it decreases, having created a sale signal as the %К line is lower than the %D line. In such a manner, the situation in this market is obviously not determined. It forces us to stay out of this market for some time.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
The yen weakened against the American dollar after Trump’s meeting with the prime minister of Japan Shinzō Abe. Instead of this, security matters and the labor markets were discussed and it is expected that questions of monetary policy and fiscal stimulation will be discussed by the Japanese Deputy Prime Minister Aso and the American vice-president Pensem. The regional benchmark of MSCI added 0.3% led by the resource-extraction companies while the Japanese Nikkei grew by 0.4% having received a boost from the weak yen. On Friday, the global MSCI index tracking share value in 46 countries grew to its highest level since May, 2015 where the main indexes of Wall Street were closed at its fresh historical maxima. Trump declared earlier that he plans to unveil the most ambitious plan of tax reform since the time of Reagan in the next several weeks that revived hopes for big reductions taxes. This fact provided a broad support to the dollar which added 0.2% against the European currency and strengthened at the level of 1.0622 near its three-week maxima. Against yen, the greenback added nearly 1% having become stronger at the level of 114.17 considerably expanding a rebound from the bimestrial minima in 111.59 yens.

Fundamental analysis from New Forex: Europe
Bundesbank threatened London that it can lose the role of a financial «window to Europe», the British government reacted frostily to this fact having supported Brexit prospects hoping that Great Britain can win a role of financial center in the region. This process promises cool tax reforms and broad fiscal support for the banking sector with deregulation of financial activities. It should be noted that nearly 80% from all currency transactions in the EU are performed in Great Britain, and more than a third of all wholesale banking services between large business, the governments and the pension funds appears also in Great Britain. Billions of pounds are traded every day to provide the companies, for example concerning risk of an interest rate realignment, abnormal volatility or inflation risks. The European currency weakened at 0.2% against the greenback and is traded near three-week minima while the British pound sterling became stronger as the leader of today’s growth against a basket from main competitors. The Swiss franc considerably weakened against other currencies because of the growing interests towards risk.

NewForex Analyst
Alex Vergunov

 

[Anna Mon]

Forex News from New Forex: Technical analysis of EUR/USD
On Tuesday, the trades proceed with reduction in price as it has been proceeding during the previous trading days since the beginning of last week — on February 6. Among the market participants bearish moods prevail. Therefore, the single European currency loses in price. On the four-hour chart, the quotation left much below than the moving averages with the period of 20 and 55 days. Now the relative marks at 1.0583 and 1.0636 serve as the levels of support and resistance. It is to be recalled that today according to the chart the publication of macroeconomic indicators for both euro and the greenback is necessary. We expect the news on the consumer price index, GDP and Purchasing Managers’ Index of Germany, the Consumer price index and a price index of Switzerland producers, GDP of Italy, and at last GDP of all Eurozone with the Index of industrial production. We expect the similar data to give serious support to the single European currency. The technical structure of the market differs with an obvious bearish spirit. The MACD histogram stays deeply in a negative zone but it doesn’t create an accurate signal as well as the Stochastic oscillator. Thus, we prefer to stay out of this market until the warring parties force clarification.

Forex News from New Forex: Technical analysis of GBP/USD
On Tuesday, the trades proceed with a moderate bullish spirit of the market participants and advance in price within the current levels of support at 1.2478 and resistance at 1.2585. The quotations appeared in the corner slightly higher than the moving averages with the period of 20 and 55. However, warring parties force hasn’t determined yet. On the four-hour chart the MACD histogram reduced to the central line and it progresses along its own axis without giving any accurate signals. The Stochastic oscillator is close to an overbought zone and it created a sale signal as the %К line is higher than the %D line. However, this signal can be false and premature. It should be noted that today at 12:30 Moscow time (9:30 GMT) the publication of macroeconomic data on Great Britain is planned including the line on index of the producer’s price and on the Consumer price index. So it can give a serious support to sterling, we also expect it in order to make the investment decisions.

Forex News from New Forex: Technical analysis of USD/JPY
Since the beginning of January, the greenback has been losing its positions against the Japan national currency and it was only last week that the greenback began to increase, having invertedly developed its trend movement. In such a manner, now on the four-hour chart we observe the moving averages with the period of 20 and 55 which increased, intercrossed and tend to be growing now. The price chart appeared in the corner above the moving averages. On Tuesday, the pair is traded within the current levels of support at 113.37 and resistance at 113.86. In the short term, the MACD histogram stays in a positive zone that indicates the collected ascending potential. Today it gives a sale signal for transactions. The Stochastic oscillator decreases and creates a similar signal as the %К line is lower than the %D line.

Forex News from New Forex: Technical analysis of USD/CHF
Since the beginning of the current month, we can observe the greenback strengthening against the Swiss national currency. The market is impregnated with bullish mood of its participants and the trades on Tuesday didn’t become an exception. The price grows in a four-hour timeframe. The chart rose to the corner above the moving averages with the period of 20 and 55 days, indicating serious bullish market potential. Meanwhile the quotations remain within the current levels of support at 1.0013 and resistance at 1.0061 but it is necessary to notice that today the release of macroeconomic data on the Consumer price index is expected just like the Price index of producers and import of Switzerland. It can give a good support to franc. However, the technical structure of the market on the four-hour chart is obviously bearish one. The MACD histogram fell below the signal line and it gives a sale signal, the Stochastic oscillator has also created a similar signal as the %К line is lower than the %D line.

NewForex Analyst
Aaron Kaufmann

Fundamental analysis from New Forex: The Asia-Pacific region
The Asian stock indexes closed mixed with noticeable fluctuations in Japan and Hong Kong but nevertheless accepting an impulse from global rally after control indicators of the USA grew to new historical maxima. The optimism from the prospects of the American economy growth under the leadership of Donald Trump remains a driving force for investors in relation to shares. The American inflation consumer expectations reached 19-month maxima in January that can be good news for the Federal Reserve System even despite of the unclear economic plans of Trump. On Monday, the regional MSCI index almost didn’t change after reaching the highest level since July, 2015. Meanwhile, the S&P 500 index on Wall Street was closed at unprecedentedly high level and MSCI, the World-benchmark is also traded near its 2015 maxima. Shares in Hong Kong and Shanghai were in a flat, after releasing data on the prices of China producers. Today, the head of the US Federal Reserve System Yellen plans to begin the report to the Congress and it is expected that the action will end tomorrow and during which the central banker will emphasize the most probable scenarios of development of monetary policy this year. The Australian dollar grew against the background of the large corporate income which came to its maxima of nine years while treasury bonds grow since Friday. The American dollar approached its two-week maxima against yen and is traded near the level of 113.72 after Trump refused to comment on Japan monetarist policies within the meeting with the prime minister, Shinzo Abe. For today, all attention of investors is concentrated on economic indications of Yellen and it is expected that already on March 15, U.S. Fed from 30% chance will raise the stakes within the regular meeting of committee on the public markets. Besides, the head of the Japan Bank, Kuroda will also act later today but as it is expected, there will be no comments on Trump’s claim within this report.

Fundamental analysis from New Forex: Europe
Concerns in the relation of the European Union prospects disintegration are condensed that led to growth of the British pound against common currency today against the background of the thin political skirmish and mutual threats recognizing Germany and also London that not in a smaller measure was promoted by the growing prospects of a victory of the anti globalist and anti-allied candidate at presidential elections in France. The European regulators emphasize a number of powerful concerns which can damage the economy of Great Britain in the medium term having torn off the channels of economic growth connected with a financial intermediation which were traditionally provided from London. At the same time, economists of City and many politicians are sure that competent reforms will steadily influence development of Britain even more in the long term as financial center in the region. The British pound strengthened at the level of 1.1817 against euro which staying in defensive positions against most of main competitors while the Swiss franc got insignificant support because of the weakened interest in risk and the growing attention of investors in the relation of hedging instruments. The European commission emphasizes in the forecast that the economic growth of Britain will be slowed down to 1.5% this year and 1.2% in the following in comparison with two-percent growth in 2016. And perhaps it is necessary to expect that exchange of «pricks» will only increase as the prospects of disintegration of the Union become stronger that can reflect adversely by no means on sovereign economies in the European region.

NewForex Analyst
Alex Vergunov