Daily Market Updates & Trading Signals By Option Banque

[Option_Banque]

AUD/NZD signal by Option Banque

From 1.03600
Till 1.03300

Option Digital
Direction Put
Expiry GMT 21:00 31/01/2017

 

[Option_Banque]

Daily Report on February 01, 2017 by Option Banque

Daily Report on February 01, 2017



Asian shares were mixed on Wednesday with Japan’s equities erasing earlier losses, while Hong Kong stocks resuming trading after a holiday. The Japanese Topix reversed higher after dropping as much as 0.9 percent earlier in the day. Stocks in Australia and South Korea jumped while Hong Kong’s Hang Seng index lost 0.7 percent as trading resumed after a two-day break. Markets in China, Taiwan, Malaysia and Vietnam remain closed for a holiday.

The dollar stabilized in Asia trading hours on Wednesday after its worst month since March as investors awaited a Federal Reserve policy decision due later on the day. U.S. President Donald Trump and his trade adviser Peter Navarro on Tuesday stated that the currency policies of Japan and other trading partners including China and Germany are devaluing their currencies to the disadvantage of the United States.

In response to comments by U.S. President Donald Trump, Japanese Prime Minister Shinzo Abe said on Wednesday that the central bank's ultra-loose monetary policy was not aimed at devaluing the yen. According to a senior Japanese government source, Japanese Finance Minister Taro Aso will explain the government's stance on currencies and monetary policy at a meeting next week between Prime Minister Shinzo Abe and U.S. President Donald Trump.

The National Bureau of Statistics of China on Wednesday stated that the country’s manufacturing purchasing managers’ index fell to 51.3 in January from 51.4 in the previous month but was above expectations, suggesting stable growth heading into 2017. China's official nonmanufacturing purchasing managers' index, a measure of activity outside factory gates, edged up to 54.6 in January from 54.5 in December.

According to the Statistics New Zealand, unemployment rate advanced to 5.2% in the three-month period to December from 4.9% in the previous quarter. The result contrasted with economists’ median estimate which expected a drop to 4.8%. The increase in jobless rate was due to the fact that more people sought work than could find jobs. Participation rate jumped to record 70.5%, surpassing economists’ forecast of 70.2%. Meanwhile, employment increased 0.8% in the quarter, also topping consensus estimate of a 0.7% gain.



Technicals

AUDUSD



Fig: AUDUSD H1 Technical Chart

AUDUSD has been tracing an uptrend with higher lows formed in the price chart. The pair rebound from 0.75528 after hitting a slopping upward support. The price is facing the resistance at 0.75700. In the event of continual up moves, the pair may test the key level at 23.6% Fibonacci retracement.

Trade suggestion

Buy Digital Call Option from 0.75750 to 0.76000 valid until 20:00 GMT February 01, 2017



GBPCHF



Fig: GBPCHF H4 Technical Chart

GBPCHF has been stuck below the 1.24500 resistance. The pair failed to break this level even after rebounding from the support at 1.23500. The short-term MA20 crossed over the long-term MA50 yesterday, putting downward pressure on the pair. RSI remained under 50 line, indicating further declines.

Trade suggestion

Buy Digital Put Option from 1.24300 to 1.23500 valid until 20:00 GMT February 01, 2017



Natural Gas



Fig: Natural gas H1 Technical Chart

Natural gas reversed lower following a correction that came in after the market had fallen into the oversold zone. The price fell below the one-month low yesterday to as low as 3.110. Natural gas futures price may retest this level today with RSI, which pulled back from the central line, indicates strengthening bearish momentum.

Trade suggestion

Buy Digital Put Option from 3.145 to 3.110 valid until 20:00 GMT February 01, 2017



NASDAQ 100



Fig: NASDAQ 100 Index H4 Technical Chart

U.S. NASDAQ 100 gapped up on Wednesday. The index pulled back from the long-term MA50 and opened higher at the short-term MA20. RSI has moved past the 50 line, rising as high as 56.89, which suggests a reversal into an uptrend. The index may soar as high as 5169.75 – the all-time high record.

Trade suggestion

Buy Digital Call Option from 5140.00 to 5170.00 valid until 20:00 GMT February 01, 2017

 

[Option_Banque]

New Zealand Dollar Reverses Lower As Jobless Rate Jumps Sharply

New Zealand Dollar Reverses Lower As Jobless Rate Jumps Sharply

New Zealand dollar fell for the first time in three days against its American counterpart on Wednesday, after data on the country’s labor market showed the jobless rate rose unexpectedly last quarter.

According to the Statistics New Zealand, unemployment rate advanced to 5.2% in the three-month period to December from 4.9% in the previous quarter. The result contrasted with economists’ median estimate which expected a drop to 4.8%.

The increase in jobless rate was due to the fact that more people sought work than could find jobs. Participation rate jumped to record 70.5%, surpassing economists’ forecast of 70.2%. Meanwhile, employment increased 0.8% in the quarter, also topping consensus estimate of a 0.7% gain.

The U.S. dollar, however, stabilized after its worst month since March as investors awaited a Federal Reserve policy decision due later on the day.

Trade suggestion
Buy Digital Put Option from 0.72600 to 0.72200 valid until 20:00 GMT February 01, 2017

 

[Option_Banque]

USD /CAD signal by Option Banque

From1.30450
Till 1.30000

Option Digital
Direction Put
Expiry GMT 21:00 01/02/2017

 

[Option_Banque]

Daily Report on February 02, 2017 by Option Banque

Daily Report on February 02, 2017



Global shares sagged on Thursday as investors scrutinized mixed earnings from corporate heavyweights. The U.S. dollar also stepped lower after the U.S. Federal Reserve gave no hint of accelerating rate hikes at its first meeting since President Donald Trump took office in January. European stock markets opened lower after Asian shares pared their early gains and plunged into the red.

The MSCI Asia Pacific Index slipped 0.1 percent, with Hong Kong’s Hang Seng dropping 0.6% and Singapore’s Straits Times Index retreating 0.8 percent from the highest level since October 2015. Japan’s Topix index fell 1.1 percent. China markets were closed for the final day of Lunar New Year holidays. Meanwhile, the Stoxx Europe 600 Index declined 0.5 percent and futures on the S&P 500 lost 0.4 percent.

The dollar slipped to its lowest levels since mid-November on Thursday even after the Federal Reserve presented a relatively upbeat view of the U.S. economy at its meeting on Wednesday. Given uncertainties resulting from potential impact of Trump's protectionist stance, as well as his recent comments about currencies, the U.S. central bank Fed refrained from giving any explicit rate-hike signals or the timing of its next move.

The dollar index, which tracks the U.S. currency against a basket of six major rivals, slipped nearly 0.5 percent to 99.25 - its lowest since November 14.

The pair AUDUSD rose to as high as 0.76514 – the highest level seen since November 11 last year after the Australian Bureau of Statistics reported that December’s official trade balance swelled to $3.511 billion in seasonally adjusted terms. The figure comfortably smashed market expectations for an increase to $2.2 billion and the previous record high of $2.236 billion set in February 2009. In December exports leaped by 5% compared to the month before, while imports rose a less-impressive 1%.



Technicals

EURUSD



Fig: EURUSD H4 Technical Chart

EURUSD reversed higher from two moving averages at around 1.07300. The pair surged strongly to reach a nearly two-month high and is heading upwards to attempt the resistance at 1.08600. Both RSI and ADX are advancing, indicating strong bullish momentum.

Trade suggestion

Buy Digital Call Option from 1.08200 to 1.08600 valid until 20:00 GMT February 02, 2017



AUDNZD



Fig: AUDNZD H4 Technical Chart

AUDNZD has been surging more than 170 pips since the start of this week. The rally has sent the pair to the highest level since January 23rd, 2017 at the major stance at 1.05000. While RSI index is surging towards the overbought zone, the ADX index is also tracing an advance with a wide gap between the +DI and –DI lines. The pair is expected to retest the resistance at 1.05600.

Trade suggestion

Buy Digital Call Option from 1.05000 to 1.05600 valid until 20:00 GMT February 02, 2017



WTI



Fig: WTI H4 Technical Chart

U.S. crude price broke higher after a consolidation in early Asian trading hours. The commodity price extended gains to trade above the dynamic support that connects higher lows. A firm resistance at 54.30 is within the sight. This level has curbed the crude price rally four times in the last two months.

Trade suggestion

Buy Digital Call Option from 54.00 to 54.30 valid until 20:00 GMT February 02, 2017



Dow Jones



Fig: Dow Jones 30 Index H1 Technical Chart

Dow Jones futures index gapped down on Thursday and is trading within a narrow range since the market open. No clear trend has been formed in the market, as indicated by declining ADX index. However, the index is ticking lower. In the event of a downtrend, the support at 19740.00 may be set as a target.

Trade suggestion

Buy Digital Put Option from 19800.00 to 19740.00 valid until 20:00 GMT February 02, 2017

 

[Option_Banque]

AUDUSD Trade Idea by Option Banque

Australian Dollar Jumps On Record Trade Surplus Report

Australian dollar witnessed a sharp leap versus the greenback on Thursday on the back of data showing a record trade surplus in December.

The pair AUDUSD rose to as high as 0.76514 – the highest level seen since November 11 last year after the Australian Bureau of Statistics reported that December’s official trade balance swelled to $3.511 billion in seasonally adjusted terms. The figure comfortably smashed both market expectations for an increase to $2.2 billion and the previous record high of $2.236 billion set in February 2009.

Meanwhile, the U.S. dollar weakened after the Federal Reserve which did present a relatively upbeat view of the U.S. economy, failed to give hint of accelerating rate hikes in the coming months. Potential impact of Trump’s protectionist stance remained uncertain, which restrains the U.S. central bank from formulating its rate-increase plan.

Trade suggestion
Buy Digital Call Option from 0.76400 to 0.76800 valid until 20:00 GMT February 02, 2017

 

[Option_Banque]

GBP/USD signal by Option Banque

From 1.27000
Till 1.27500

Buy Option Digital
Direction Call
Expiry GMT 21:00 02/02/2017

 

[Option_Banque]

Daily Report on February 03, 2017 by Option Banque

Daily Report on February 03, 2017



European shares and the U.S. dollar gained on Friday ahead of a monthly report on the U.S. labor market. Economists expect the U.S. nonfarm payrolls for January published by the Labor Department will show employment growth in the U.S. expanded at a faster pace in January with 180,000 more jobs added.

The Stoxx Europe 600 Index advanced 0.5 percent, trimming its decline for the week to 0.9 percent after Asian shares closed mixed. The Topix Index climbed 0.3 percent while the Shanghai Composite Index lost 0.6 percent on its first day of trading as China's markets reopened after closing for the week-long Lunar New Year holiday. Futures on the S&P 500 were up 0.1 percent, looking set for a decline on the week.

The Bank of Japan on Friday offered to buy an unlimited amount of bonds at a fixed rate in an unscheduled operation, which caused Japanese 10-year yields and the yen to whipsaw. The BOJ’s unscheduled purchase of an unlimited amount of debt for some maturities came after an earlier attempt Friday morning to cap yields by expanding bond purchases in a regular operation disappointed investors.

In its first wording day since January 26th, China's central bank reinforced a shift toward tighter monetary policy by raising key interest rates in the money market. The People Bank of China attempted to deflate asset bubbles and reducing long-term financial risk by hiking the interest rates it charges commercial banks on the seven-day, 14-day and 28-day loans, also known as reverse repurchase agreements or repos, each by 0.1 percentage point.

The PBOC also continued to withdraw cash from the financial system. The bank drained a net 70 billion yuan ($10.17 billion) from markets, a move that contributed to sending Chinese shares and bonds lower. The Shanghai Composite Index fell 0.6% on Friday, weighed down also by fresh data that showed a slowdown in Chinese manufacturing growth last month.

The China Caixin manufacturing purchasing managers' index (PMI) for January was reported to slow from December. The reading, which has been above 50 for the seventh straight month, came in at 51.0 in January, down from December's 47-month record of 51.9 and below a Reuters' poll forecast for 51.8, according to Markit.



Technicals

USDCAD


Fig: USDCAD H4 Technical Chart

USDCAD has broken through a consolidation at around 1.30200 and a slopping downward resistance which is formed by lower highs. The pair is testing a horizontal resistance at 1.30500. The RSI index has not crossed the 50 yet. Therefore, traders may need to wait for more up moves before entering an uptrend.

Trade suggestion

Buy Digital Call Option from 1.30600 to 1.31000 valid until 20:00 GMT February 03, 2017



GOLD



Fig: Gold H1 Technical Chart

Gold is struggling around the 50.0% Fibonacci retracement after a period of time moving around the long-term MA50. In general, the precious metal market has been in the bearish territory, suggesting overwhelming bears which may help the price to break out of the Fibonacci support to test the level 1207.00.

Trade suggestion

Buy Digital Put Option from 1211.00 to 1207.00 valid until 20:00 GMT February 03, 2017



Coffee



Fig: Coffee H4 Technical Chart

Coffee price reversed lower after the price action hit both the firm resistance at 38.2% Fibonacci retracement and the dynamic resistances which are a couple of moving averages. The commodity fell below the support at 147.00 and is heading downwards to another support at 50.0% Fibonacci level. RSI has been tracing a down move below the 50 line, confirming the downtrend.

Trade suggestion

Buy Digital Put Option from 145.00 to 143.40 valid until 20:00 GMT February 03, 2017



Dow Jones



Fig: Dow Jones H4 Technical Chart

Dow Jones index extended its Thursday advance to bring its price action above the long-term MA50. The two-day rally has sent the market into the bullish territory, as indicated by the RSI index. ADX index is edging higher, suggesting a strengthening uptrend.

Trade suggestion

Buy Digital Call Option from 19935.00 to 20000.00 valid until 20:00 GMT February 03, 2017

 

[Option_Banque]

GBPUSD Trade Idea by Option Banque

British Pound Extends Slide Following Weak Services PMI Data

British Pound fell for the second day on Friday after data showed that growth in Britain’s services sector slowed for the first time in four months in January.

The Markit/CIPS services purchasing managers’ index (PMI) was reported to drop to a three-month low of 54.5 last month from 56.2 in December. While December’s reading reached 15-month high, last month’s figure slid to at the bottom end of a range of forecasts in a Reuters poll of economists.

The pair GBPUSD plunged more than 200 pips from nearly two-month high at 1.27060 set on Thursday to trade around 1.24864 at 10:00 AM GMT.

On Thursday, the Bank of England sharply upgraded its growth forecast for 2017 to 2.0 percent after having highlighted a stronger global economy and more resilient domestic consumers.

Trade suggestion
Buy Digital Put Option from 1.24700 to 1.24200 valid until 20:00 GMT February 03, 2017

 

[Option_Banque]

AUD/JPY signal by Option Banque

From 86.600
Till 87.000

Buy Option Digital
Direction Call
Expiry GMT 21:00 03/02/2017

 

[Option_Banque]

Sp500 signal by Option Banque

Sp500 signal by Option Banque

From 2296.00
Till 2300.00

Buy Option Digital
Direction Call
Expiry GMT 21:00 03/02/2017

 

[Option_Banque]

Daily Report on February 06, 2017 by Option Banque

Daily Report on February 06, 2017



Global shares edged higher on Monday with MSCI's broadest index of Asia-Pacific shares outside Japan creeping up 0.4% while STOXX Europe 600 Index inching up 0.08%. Taiwan shares led gainers in Asian session, adding 0.9% while Japan's Nikkei jumped 0.2 percent in the wake of a firmer finish on Wall Street last Friday, which resulted from U.S. President Donald Trump’s executive orders to roll back regulations that were intended to prevent a repeat of the global financial crisis.

The Markit/Caixin services purchasing managers' index (PMI) on Monday showed that activity in the services sector in China remained strong in January. The services PMI fell marginally to 53.1 in January on a seasonally adjusted basis from 53.4 in December but remained above 50-mark that separates expansion in activity from contraction on a monthly basis. Although the pace of expansion eased from the previous month, companies reported a solid increase in orders which indicates that growth in China's services sector remained robust.

Meanwhile, Australian retail sales witnessed a shock decline in December. According to the data released by the ABS on Monday, the country’s sales fell by 0.1% to $A25.61 billion in seasonally adjusted terms in December. The result missed expectations for an increase of 0.3% and marked the first monthly contraction in retail sales since July 2016. November’s reading was also revised lower to just 0.1% from 0.2% in the previous report.

On a quarterly basis, Australian retailers boosted their sales to rise 0.9 percent in the three-month period to December, from a flat in the July-September period.

Crude prices were struggling for direction as rising oil rig count in the U.S. offset efforts by the Organization of the Petroleum Exporting Countries (OPEC) and other producers like Russia to cut output. energy services firm Baker Hughes Inc said late Friday U.S. drillers added 17 oil rigs in the week to Feb. 3, bringing the total count up to 583.



Technicals

USDCHF



Fig: USDCHF H1 Technical Chart

USDCHF has been climbing higher since it escaped from the control of two moving average. Last Friday the pair was stuck between a support which is the long-term MA50 and a resistance which is the short-term MA20. Both RSI and ADX indexes are soaring, suggesting a strong bullish momentum in the market.

Trade suggestion

Buy Digital Call Option from 0.99600 to 0.99900 valid until 20:00 GMT February 06, 2017



AUDJPY



Fig: AUDJPY H4 Technical Chart

AUDJPY pulled back from the resistance level at 86.500. As can be observed from previous cycles, the pair tends to fall as low as 85.400 – the support level once it fell from the upper boundary at 86.500. RSI has fallen below the 50 line, confirming the decline.

Trade suggestion

Buy Digital Put Option from 86.000 to 85.400 valid until 20:00 GMT February 06, 2017



CAC 40 Index



Fig: CAC40 H4 Technical Chart

France’s CAC40 index has made a breakout from a consolidation around 4825.00 level and sent the price action above the long-term MA50 for the first time since January 25th. With RSI index soaring above 50 level which indicates a strong uptrend, the index is attempting the resistance at 4875.00.

Trade suggestion

Buy Digital Call Option from 4840.00 to 4875.00 valid until 20:00 GMT February 06, 2017



DAX 30 Index



Fig: DAX 30 Index H1 Technical Chart

Germany’s Dax 30 index reversed higher after having fallen as low as 11574.15 in early trade. The benchmark returned to the trading range between 11650.00 and 11730.00. With the market dominated by buyers again, as indicated by the RSI index, the index may test the upper boundary at 11730.00

Trade suggestion

Buy Digital Call Option from 11665.00 to 11730.00 valid until 20:00 GMT February 06, 2017

 

[Option_Banque]

FTSE Trade Idea by Option Banque

Randgold Resources Tops Market, Sending U.K. Shares Higher

U.K. shares rose on Monday, pushed higher by shares of West African gold producer Randgold Resources Ltd. which had reported a sharp jump in fourth-quarter net profit.

The benchmark FTSE 100 added 0.24% to trade at 7201.31 in early hours with gains led by shares of miners.

Randgold Resources on Monday said that net profit for the three months ended December 31 soared 76% to $78.5 million, compared with $44.6 million in the same period a year earlier. Revenue also made a break, jumping 31% year-over-year to reach $356.4 million last quarter.

Other miners including Fresnillo PLC, Anglo American PLC, Glencore PLC and Antofagasta PLC also witnessed an increase in share prices.

Shares of Dixons Carphone topped the list of decliners, losing more than 2%.

Trade suggestion
Buy Digital Call Option from 7205.00 to 7220.00 valid until 20:00 GMT February 06, 2017

 

[Option_Banque]

Gold Trade Idea by Option Banque

Gold Surges On The Back Of Weak U.S. NFP That Sends Dollar Lower

Gold prices rose on Monday, extending its rally to a third consecutive day, boosted by a weakening dollar after mixed U.S. jobs data published last Friday muted expectations for near-term interest rate hikes.

U.S. gold futures soared nearly 0.4 percent to trade at $1,224.13 per ounce in the second-half of Asian trading session.

According to the Labor Department, the U.S. economy added 227,000 jobs in January from the prior month, smashing forecasts by economists that expected nonfarm payrolls rose by 175,000 last month.

However, as more Americans joined the workforce, the unemployment rate ticked up to 4.8% from 4.7% in December. Average hourly earnings only added 2.5% in January from a year earlier, slowing from 2.8% in December, which may prompt the Federal Reserve to adopt a more cautious approach on raising interest rates this year.

As weaker dollar tends to decrease the opportunity cost of holding non-yielding bullion, gold edged higher.

Trade suggestion
Buy Digital Call Option from 1,225.00 to 1,230.00 valid until 20:00 GMT February 06, 2017

 

[Option_Banque]

Daily Report on February 07, 2017 by Option Banque

Daily Report on February 07, 2017



Asian shares declined on Tuesday, mirroring losses of European and U.S. stocks recorded yesterday. Political jitters, which stemmed from French presidential election and uncertainties over President Donald Trump's potential economic policies, caused investors to pull away from risky assets and flock into safe-havens including Japanese Yen.

The Yen gained against most of its peers on Tuesday with investor cautious about European political developments after France's far-right National Front leader Marine Le Pen on Monday launched her presidential bid. The candidate vowed to fight globalization and threatened to take France out of the euro zone. As a result, both European stocks and the Euro fell.

Meanwhile, Australia's central bank held rates steady on Tuesday after its first policy meeting of this year. The RBA kept rates at a record low of 1.5 percent for a seventh straight month, following two times of easing in August and May last year. Governor Philip Lowe expressed his optimism about an economy bounce back in the fourth quarter after a surprise contraction in the third quarter of last year.

The central bank remained its forecast for economic growth to be around 3 percent over the next couple of years and expected inflation to pick up gradually.

New Zealand dollar surged strongly against its American peer on Tuesday after data from the RBNZ showed that long-term inflation expectations for New Zealand businesses rose in the fourth quarter. According to the Reserve Bank of New Zealand, the nation’s consumer prices soared 1.9% in the three-month period to December, sending the annual pace to 1.3% in the fourth quarter. That was the biggest gain since the third quarter of 2014, when inflation was 1.6% on a yearly basis. As stated by the report released on Tuesday, inflation was driven up by higher transport costs, rising energy prices and the continued expansion of housing-related expenses.



Technicals

EURUSD



Fig: EURUSD H4 Technical Chart

EURUSD has breached the support at 1.07100 after having crossed over two moving averages. While RSI is pointing to the oversold zone, ADX is surging strongly with a wide gap between the –DI and +DI lines, which suggests a strong downward momentum in the market. The support at 1.06300 is within the sight.

Trade suggestion

Buy Digital Put Option from 1.06900 to 1.06300 valid until 20:00 GMT February 07, 2017



AUDJPY



Fig: AUDJPY H4 Technical Chart

AUDJPY resumed its down moves following a correction. The pair nose-dived from the upper boundary at 86.500 to as low as 85.228 on Tuesday. The steep decline almost sent the market into an oversold zone. Buyers bought on dips but sellers have jumped in to depress the price lower. The support at 85.200 may be tested again.

Trade suggestion

Buy Digital Put Option from 85.600 to 85.200 valid until 20:00 GMT February 07, 2017



WTI


Fig: WTI H4 Technical Chart

U.S. crude price has been fallen in a correction after it dropped sharply from as high as 54.11. The price action has broken over both the long-term and short-term moving averages, suggesting a reversal into a downtrend. The price is tracing a support that connects higher lows. However, long upper shadows in recent candles indicate a strong bearish force in the market, which may push the price lower.

Trade suggestion

Buy Digital Put Option from 53.00 to 52.30 valid until 20:00 GMT February 07, 2017



CAC 40



Fig: CAC 40 Index H4 Technical Chart

France’s CAC 40 index gapped down on Tuesday, looking set to retest the support at 4750.00 and even the level at 4700.00. The pair has still been under downward pressure exerted by two moving averages. RSI is at a low of 33.78, showing an overwhelming bearish force in the market.

Trade suggestion

Buy Digital Put Option from 4750.00 to 4700.00 valid until 20:00 GMT February 07, 2017

 

[Option_Banque]

NZDUSD Trade Idea by Option Banque

New Zealand Dollar On A Rise After Upbeat Inflation Data

New Zealand dollar surged strongly against its American peer on Tuesday after data from the RBNZ showed that long-term inflation expectations for New Zealand businesses rose in the fourth quarter.

The pair NZDUSD rose nearly 0.5% to trade at 0.73540 in the first-half of Asian trading hours.

According to the Reserve Bank of New Zealand, the nation’s consumer prices soared 1.9% in the three-month period to December, sending the annual pace to 1.3% in the fourth quarter. That was the biggest gain since the third quarter of 2014, when inflation was 1.6% on a yearly basis.

As stated by the report released on Tuesday, inflation was spurred by higher transport costs, rising energy prices and the continued expansion of housing-related expenses.

Trade suggestion
Buy Digital Call Option from 0.73600 to 0.74000 valid until 20:00 GMT February 07, 2017

 

[Option_Banque]

Crude Trade Idea by Option Banque

Crude Oil Slumps Amid Estimates That U.S. Crude Inventories Rise

Crude oil futures nose-dived on Tuesday, extending their losses into a second session amidst estimates that U.S. crude inventories continue to climb.

Futures slipped around 2 percent in New York, setting prices up for their lowest finish in almost three weeks.

According to a Bloomberg survey which was polled ahead of an Energy Information Administration report due on Wednesday, economists expect crude stockpiles in the U.S. to rise 2.5 million barrels last week.

If confirmed, the headline figure will have increased for 5 weeks in a row.

Trade suggestion
Buy Digital Put Option from 52.00 to 51.70 valid until 20:00 GMT February 07, 2017

 

[Option_Banque]

EUR/JPY signal by Option Banque

From 119.700
Till 119.300

Option Digital
Direction Put
Expiry GMT 21:00 07/02/2017

 

[Option_Banque]

Daily Report on February 08, 2017 by Option Banque

Daily Report on February 08, 2017



European shares stepped higher on Wednesday, led by miners after Rio Tinto Plc, one of the world's largest metals and mining corporations, posted higher profits for the first time in three years. The advance, however, was slowed down a little by post-earnings drops in shares of Maersk, Tullow Oil and Carlsberg.

Meanwhile, euro fell against most of its peers on Wednesday amid concerns over the resurgence in political risk in the euro area. The single currency extended its losses versus the U.S. dollar to a third consecutive day, weighed down by France's presidential election race which is witnessing the prevailing of far-right National Front leader Marine Le Pen, who has vowed to pull France out of the euro zone, over her main rivals which are centrist Emmanuel Macron and conservative Francois Fillon.

Both the Japanese Yen and the greenback gains advantages from a return of nerves around China's yuan after data published on Tuesday stated that Beijing's foreign exchange reserves unexpectedly fell last month. China's foreign exchange reserves were reported to plunge by $12.3 billion in January to $2.998 trillion, compared with a drop of $41 billion drop in December. The headline reading dropped below the closely watched $3 trillion level below the closely watched $3 trillion level despite authorities’ efforts to curb outflows by tightening capital controls.

Elsewhere, The International Monetary Fund’s annual review of the Greek economy published on Tuesday revealed a rare split among its board members. The report showed a disagreement among IMF’s 24 executive directors over the austerity measures imposed on Athens and over the country’s huge debt burden.



Technicals

USDJPY



Fig: USDJPY H4 Technical Chart

USDJPY price action has been trapped in a narrowing trading range. However, the pair is struggling at the lower boundary and is likely to break the range from above. RSI has been twisted around the 50 for a while, so the fact that it has moved past the 50 line to move in the bearish zone may not supportive. In the event of a breakout, the pair may fall as low as 111.600.

Trade suggestion

Buy Digital Put Option from 112.000 to 111.600 valid until 20:00 GMT February 08, 2017



GBPJPY



Fig: GBPJPY H4 Technical Chart

GBPJPY continued to fall lower following a correction below the 23.6% Fibonacci level. It appears that the bear has taken over the market again after it let the bull jump in to buy on dips. RSI remained under the central line, while the ADX is heading down, suggesting that the uptrend has weakened.

Trade suggestion

Buy Digital Put Option from 139.900 to 139.000 valid until 20:00 GMT February 08, 2017



Natural Gas



Fig: Natural Gas H4 Technical Chart

Natural gas breached below the 23.6% Fibonacci level yesterday after its price action had crossed over the short-term MA20 at 3.126. Since then, the commodity has kept edging lower and is facing a dynamic support which is the long-term MA50. In case of a breakout from this support, natural gas price may fall lower to test the support at 3.050.

Trade suggestion

Buy Digital Put Option from 3.080 to 3.050 valid until 20:00 GMT February 08, 2017



DAX



Fig: DAX H4 Technical Chart

Germany’s Dax 30 index reversed lower, pressured by the threat of the short-term 20-period moving average after surging as high as 11607.00. The pair pulled back from the support at 11470.00 yesterday but may retest this level in today’s session as the market has remained in the bearish zone.

Trade suggestion

Buy Digital Put Option from 11560.00 to 11470.00 valid until 20:00 GMT February 08, 2017

 

[Option_Banque]

EUR/CHF signal by Option Banque

From 1.06400
Till 1.06200

Sell Option Digital
Direction Put
Expiry GMT 21:00 08/02/2017