Daily Market Analysis from NewForex Broker

[Volfovich]

Forex News from New Forex:
Gold futures changed the direction

In the trading on February 6th gold prices gained in anticipation of the U.S. employment data and amidst the complex situation in Greece. In the New York Mercantile Exchange gold futures for April delivery edged up to 0.39% and are trading at $1,267.60.

April contracts in the trading on Thursday closed 0.14% lower and reached $1,262.70 an ounce. The futures found support at $1,255.80 and resistance at $1,286.50. NewForex analyst Joseph Schwartz explains that the decline was noted after the report about the economic situation in the USA. According to the U.S. Department of Labor the number of citizens who apply for initial jobless benefits increased last week by 11,000 to 278,000 in comparison with the previous data — 267,000.

At the present moment traders are looking forward to the U.S. report of nonfarm payrolls.

 

[Volfovich]

Forex News from New Forex:
The Japanese indexes on the rise

The Japanese stocks are advancing after the rise of oil prices but the investors are cautious before the U.S. employment report. This data will probably give a hint when the US Federal Reserve is going to increase rates.

At the end of the trading session on February 6th the Nikkei index picked up 0.8% and is at 17,648.50. Observing the week dynamics the index lost 0.1%. The Topix index climbed 0.5% and reached 1,417.19. JPX-Nikkei Index 400 edged up to 0.6% to 12,847.97.

NewForex analyst Luigi Campo states that the situation in China was the opposite. The main indexes had a downtrend as investors remain cautious after the decision of the central bank to loosen liquidity.

The Hang Seng index shed 0.4% and is at 24,679.39. China Enterprises Index slipped to 0.8% and is traded at 1,697.32.

Among the most active shares in Hong Kong it is worth mentioning China National Culture Group Ltd (+ 8.9%), South East Group Ltd (+16.7%) and Bank Of China(-1.6%).

 

[Volfovich]

Forex News from New Forex:
The Aussie loses against the strong US dollar

In the trading on Monday the Australian dollar slumped against its US opponent. The main reason was strong data about the employment level in the USA. According to the latest data of the Labor Department in January this year the US economy got 257,000 jobs, it surpassed the analysts’ forecasts. The level of umemployment has nevertheless increased and was 5.7% in January in contrast with its December percentage at 5.6%.

At the end of the trading session the currency pair AUD/USD reached 0.7748, which is its low since February, 5. Then the pair consolidated at 0.7768 shedding 0.40%. The Aussie slid against the euro as well, the pair EUR/AUD is now trading at 1.4597.

NewForex analyst David Fineberg points out that the amount of newspapaer job ads in Australia lost 6.7% in January after its growth at 3.0% in December last year. Internet job ads on the contrary picked up 1.5% and 1.8% in January and December.

 

[Volfovich]

Forex News from New Forex:
The US dollar gains ground against the main currencies

On Monday the greenback is steady against the main currencies gaining 1% after the positive employment data in the USA. The dollar index, which measures the relation of the US dollar to the basket of six main currencies, consolidated at 94.82.

The currency pair EUR/USD has remained almost unchanged and is trading now at 1.1319. The climate around the euro is still cautious due to the unstable situation with Greece. The prime-minister of the country has recently announced that he is going to pursue the intended plans regarding the cancellation of austerity measures and is not going to accept the extension of the international bailout.

The rating agency Standard and Poor’s downgraded Greece last week and warned that the country does not have a lot of time to settle its issues concerning the new financing programme.

Information about the trade surplus in Germany was reported on Monday. The export of the country reached €21.8 billion in December, in November this fugure was considerably lower and took up €17.9 billion.

The British pound has sipped to 0.18% against the buck and is at 1.5216. The Swiss franc and the yen have edged up against the U.S currency to 0.12% and 0.45%, respectively. USD/CHF is trading at 0.9253, the pair USD/JPY reached 1.5216.

 

[Volfovich]

Forex News from New Forex:
The Aussie takes off

In the trading session on February 10th the Australian dollar edged up. The information about an alarming economic situation in China and connected with it expectation of further monetary easing measures contributed to the rise of the Aussie. The consumer price index (CPI) jumped 0.8% in China which is lower than it was expected (1%). The producer price index (PPI) slid 4.3% in contrast to the fall at 3.8% at the same period in 2014. NewForex analyst Joseph Schwarz claims that it is the largest drop since October 2009.

In Australia the situation is brighter. The business confidence has a positive dynamics gaining 3 points in January. In December last year there was a rise at 2 points. The house price index picked up 1.9% in the fourth quarter of 2014.

This upbeat data facilitated the takeoff of the Aussie against the buck. At the end of the trading session on February 10th the pair AUD/USD was trading at 0.782 gaining 0.22% which is a high since February, 6.

 

[Volfovich]

Forex News from New Forex:
The British pound consolidates against the dollar

The manufacturing production data was published in the UK. Positive figures contributed to the stability of the pound against the U.S currency. The pair GDP/USD reached 1.5250 in the European trading session, the level of support is at 1.5134, the resistance at 1.5354, which is its high since February 6th.

According to the Office for National Statistics manufacturing production picked up 0.1% in December, although a lot of analysts expected negative data. In annual terms the manufacturing production gained 2.4% in December. However, the industrial production in the same month edged down to 0.2%.

 

[Volfovich]

Forex News from New Forex:
Brent crude reached $56

On Wednesday Brent crude steadied at $56 a barrel, U.S. crude gained less than 1% due to the decline of oil stockpiles in the USA. Probably it means that a supply gult has reached its peak and is easing now.

Brent crude futures with the delivery in March picked up 28 cents and settled at $56.71 losing $1.91 in the previous trading session. US crude futures with the delivery in March picked up 52 cents to $50.54. However, in the latest session they slipped to $2.84.

NewForex analyst David Fineberg considers that Brent oil price has chances to slump to $56.21 whereas the U.S crude might trade at $49.88. Last week the US oil stockpiles edged up to 1,6 mln. barrels which is considerably lower than the forecasts of some experts who assumed that it would rise to 3.7 mln. barrels.

According to the International Energy Agency (IEA), the USA will hold the leading position in the oil supply till 2020.

 

[Volfovich]

Forex News from New Forex:
The U.S dollar is rising against its rivals

In the trading on Wednesday, February 11th, the dollar gained against the major currencies. NewForex analyst Sara Rosenstein notes that in large part it happens due to the potential risk of the exit of Greece from Eurozone. The currency pair EUR/USD shed 0.13% as investors remain cautious before the emergency meeting of the European Commission which takes place today. It is expected that Athens will ask for the bridge loan to cover its financial needs till September and propose some economic measures.

The Aussie and the kiwi show negative dynamics. The pair AUD/USD slipped to 0.50% to 0.7731, NZD/USD lost 0.09% to 0.7394. The loonie slid 0.31%, the pair USD/CAD picked up 0.31% and is at 1.2626. The Japanese yen sustains losses as well, the pair USD/JPY gained 0.37% and reached 119.87.

The British pound stands out in this context, the pair GBP/USD advanced 0.25% to 1.5293. The dollar index, which measures the relation of the American currency to the basket of six major currencies, climbed 0.11% to 94.97.

 

[Volfovich]

Forex News from New Forex:
The kiwi is losing side

In the trades on Thursday the NZ dollar sustains losses against its American rival. The situation was affected by the negative data regarding the manufacturing activity in New Zealand as well as the unsteady situation in Greece.

According to the released data, the manufacturing activity index of New Zealand edged down to 50.9 in January 2015. NewForex analyst Joseph Schwartz points out that in December this figure was considerably higher at 57.1.

In the Asian trades the currency pair NZD/USD shed 0.45% and reached 0.7335. The pair found support at 0.7287 which is its low since February 4th. The level of resistance is at 0.7448.

Due to the tense situation between Greece and its European partners the market remains under pressure. The kiwi keeps dropping against the euro. The pair EUR/NZD gained 0,35% and is trading at 1.5445.





The pound hit a 7-year high against the euro

In the trades on Thursday, February 12th, the British pound hit a 7-year high against the euro. The pair EUR/GBP is at 0.7396, which is its low since January 2008.

The pound rose against the U.S. dollar, the pair GBP/USD picked up 0.25% to 1.5291. The British currency is holding steady after the release of data about state of the manufacturing production. In December last year the key figure gained 2.4% which exceeded the experts’ expectations.

The announcement of the Bank of England Governor had a positive influence on the state of the pound. Mark Carney said that there isn’t any threat of the longlasting deflation due to the declining prices for oil, food and electricity. Probably the inflation will stay below zero for a short period of time in the first half of 2015 and will remain around zero for the most part of the year.

It is expected that in two years the inflation will exceed the 2% target set by the bank. In 2016 the level of inflation should reach 2.9%. Mark Carney,the Bank of England Governor, accepts the possibility of cutting the interest rates below 0.5%, if the inflation goes to the negative area for a long period of time.

 

[fxapex]

USDJPY has been making a move upward and there is good support for the pair too, there might be a pull back in the next week.

 

[Volfovich]

Forex News from New Forex:
The review of currencies in the Asian session

In the Asian trading on Friday, February 13th, the euro gained against the U.S dollar. The pair EUR/USD is trading at 1.1439, picking up 0.31% at the moment of writing an article. The pair is likely to find support at 1.1311 and resistance at 1.1404.

The euro has also climbed against the pound. The pair EUR/GBP advanced 0.10% and rose to 0.7420. However, against the Japanese currency the euro shed 0.22% and stopped at 135.53.

The Aussie steadied against the greenback. The pair AUD/USD jumped 0.07% and at the moment of witing the article was holding at 0.7742. NewForex analyst Luigi Campo states that the probable level of support for the pair will be 0.7722, resistance — 0.7795.

The Aussie has gained against the euro as well. The pair EUR/AUD edged down to 0.14% and reached 1.4721. Although the Aussie failed to rise against the yen and lost 0.03% to 92.11.

 

[Volfovich]

Forex News from New Forex:
The European indexes rise

In the European trading on Friday morning the EURO STOXX 50 picked up 0.99%, the French CAC 40 gained 0.88%, and the German DAX 30 advanced 0.76%.

Advance figures revealing the state of the German economy show that in the last quarter the GDP of Germany rose 0.7% which exceeds that forecasts of some analysts. The GDP of France edged up to 0.1%. This data coincided with the expectations, although in the previous quarter the country’s GDP jumped 0.4%.

The stocks of European companies are still under pressure due to the meeting with Greece. It bears reminding that the meeting of Greek and European partners this Wednesday did not lead to the delivery of an agreement. However, the parties consider that the dialogue is still possible. The next meeting is due to be on Monday.

The financial stocks of companies are taking off. The French BNP Paribas and Societe Generale advanced 2% and 2.43%. The German Deutsche Bank and Commerzbank jumped 1.09% and 1.45%, respectively.

In London the FTSE 100 index rose 0.87% due to the support of energy and mining sectors. In the USA the stock market is aimed at the rise. S&P 500 futures are directed at 0.15% rise, Nasdaq 100 futures indicate 0.25% gain.

 

[Volfovich]

Forex News from New Forex:
The yen rises inspite of weak data

In the trading on Monday the Japanese currency strengthened inspite of the weak data of the economic growth in the last quarter. The rise was only 0.6% which fell short of experts’ expectations who forecast a 0.9% increase.

Lately were issued retail sales data in New Zealand, they picked up 1.7% quarter-on-quarter, exceeding the expectations of analysts who predicted only a 1.3% rise. The currency pair NZD/USD gained 0.34% and is trading at 0.7480, the pair USD/JPY shed 0.05%. AUD/USD edged up to 0.16% to 0.7770.

We remind that today the U.S markets are closed due to the celebration of the President’s Day. If considering the previous week, at the end of it the greenback lost ground against the yen. The main factor was weak data of the consumer sentiment in the USA, in February the index slipped from 98.1 (marked in January) to 93.6. Retail sales in January were weak edging down to 0.8% indicating a dull beginning of the consumer year.

The decreasing data made investors cut down their long positions in the buck before 3-day holidays.

 

[Volfovich]

Forex News from New Forex: Gold prices are climbing

Gold prices are rising on Monday as investors are anticipating the meeting of the Europroup which is due to take place today in late afternoon.

Gold futures with April delivery in the morning session gained $7.20 or 0.59% to $1,234.30 a troy ounce. NewForex analyst Sara Rosenstein considers that the possible level of support for futures will be $1,218.00, resistance — $1,245.90. In the trading on Friday the gold prices picked up $6.40 or 0.52% and settled at $1,227.10.

The dollar index, which measures the relation of the U.S dollar to the basket with six other currencies, lost 0.2% to 94.05. A weak dollar is usually an advantage for gold as the force of its attraction as an alternative asset rises and makes dollar-priced commodities cheaper for owners of other currencies.

Silver futures with March delivery jumped 7.9 cents or 0.46% and at the moment of writing the article were at $17.37 a troy ounce.

 

[Volfovich]

Forex News from New Forex: The kiwi remains steady against the US dollar

In the trading on Tuesday the NZ dollar advanced against the U.S currency, the greenback remains under pressure due to the recent weak economic data. The currency pair NZD/USD reached 0.7528 in the Asian trading. According to NewForex analyst David Fineberg, the level of support for the pair will be 0.7429 (a low of Monday), the level of resistance — 0.7584 (a high of January 22).

However, the NZ dollar could not resist the Aussie , shedding 0.17%. The pair AUD/NZD at the moment of writing the article was trading at 0.7584. The Reserve Bank of Australia astonished the markets at the beginning of February edging down its initial interest rates to 2.25%. This step was caused by weak economic forecasts.

The Aussie has gained against the buck. The pair AUD/USD picked up 0.35% and is at 0.780, it will probably find support at 0.7691 (a low of February 11th) and resistance at 0.7879 (a high of February 6th). The same growth was marked against the euro, the pair EUR/AUD slipped to 0.35% and stays at 1.4557.

 

[Volfovich]

Forex News from New Forex: The European shares decline after disappointing talks with Greece

On Tuesday the European shares are dropping due to the disappointing talks between Greece and the European partners. Athens declined the proposed 6-month bailoit. The collision between Greece and creditors fueled concerns over the possible exit of Greece from Eurozone.

Athens have time for the bailout extension only till February 28th, otherwise the country might face with a financial turmoil. The European indexes immediately reacted by the decline.

The pan-European index FTSEurofirst 300 shed 0.3% and is at 1,497.06. The European banks sustain losses losing on average 1%. In the morning session the index EURO STOXX 50 slipped to 1.45%, the French CAC 40 edged down to 1.38%, the German DAX 30 slumped to 1.40%.

Financial stocks are moving in mixed ways. The French banks BNP Paribas and Societe Generale slid — 1.45% and 1.95%, respectively. Among the British banks Lloyds Banking (- 0.09%) and Royal Bank of Scotland (- 1.33%) are losing ground. In this context the German banks Commerzbank and Deutsche Bank are on the contrary gaining 0.58% and 1.53%.

 

[Volfovich]

Forex News from New Forex: The Asian markets closed on the rise

On Wednesday meeting of the Bank of Japan it was decided to keep the bank policy and upgrade the assessment of Japan’s export and factory output. The market responded positively to this decision.

The Japanese index Nikkei closed on a 8-year high, advancing 1.2% and getting to 18,199.17 which is its high since July 2007. The Topix index edged up 1.4% to 1,482.67 which is its high as well since December 2007.

In the Asian trading the pair USD/JPY was trading at 119.15 shedding 0.09%. AUD/USD reached 0.7824 gaining 0.08%. The pair EUR/USD slid 0,05% to 1.1405.

On Wednesday begins the celebration of the Chinese New Year. The markets of the mainland China will be closed till February 25th. In Hong Kong there was a short trading session before a 2-day holiday. The Hang Seng index advanced 0.2% to 24,784.88, the China Enterprises Index climbed 0.5% to 11,998.51.

Among the most active stocks in Hong Kong it is worth noting Cypress Jade (+3,4%), China Best (+18.1%). The total trading volume of companies included into the HSI index takes up 0.8 billion shares.

 

[Volfovich]

Forex News from New Forex: The review of Asian indexes

In the trading on Tuesday the Nikkei index reached a 15-year high after the weakening of the yen. Investors are in the anticipation of U.S Federal Reserve Chair speech Janet Yellen.

The Nikkei index jumped 0.7% to 18,603.48 which is its high since 2000. Topix edged up 0.4% to 1,508.28, JPX-Nikkei Index 400 climbed 0.3% to 13,680.93.

Indexes in Hong Kong stock market moved in mixed ways. The Hang Seng shed 0.4% to 24,750.07. China Enterprises, which includes the stocks of the leading Chinese companies in Hong Kong, surged 0.04% to 12,046.20.

Among the stocks of companies which were actively traded it is worth mentioning Air China(+4%), China Southern Airlines Company (+2.1%).

The mainland markets in China are closed from February 18th and will be open this Wednesday after New Year holidays. Hong Kong stock market opened trades this Monday.

 

[Volfovich]

Forex News from New Forex: The U.S dollar shows positive dynamics

The dollar index surged 0.24% to 94.90 against the basket of six major currencies in the trading on Tuesday, February 24th. The markets are in the anticipation of the speech of the US Federal Reserve Chair. The currency pair EUR/USD shed 0.24% from 1.1333 to 1.1307.

The greenback firmed against the yen, the pair USD/JPY picked up 0.61% to 119.53. In the trading the pair GBP/USD slid to 1.5446. The Bank of England supports the pound, the representative of the bank Martin Weale stated that the central bank might raise the interest rate in the nearest time. The NZ dolllar edged down to 0.94% against its American rival, the pair was trading at 0.7453. The Aussie slumped to 0.59%, the pair AUD/USD is at 0.7756.

The loonie turned out to be weaker than the buck, the pair USD/CAD jumped 0.52% to 1.2638. NewForex analyst Joseph Schwartz highlights that it happened due to the weak economic data from Canada and the likelihood of the interest rate decrease by the central bank of the country.

 

[Volfovich]

Forex News from New Forex: The pound hit a 2-month high against the greenback

In the trading on Wednesday, February 25th, the British pound rose to a 2-month high against the buck. The increasing number of approved mortgages in the UK contributed to it. According to the British Bankers’ Association, in Janury 2015 the number of approved mortgages jumped to 36,400, although analysts expected a slightly lower number — 36,200.

In the morning European tradings the currency pair GBP/USD reached 1.5539. NewForex analyst Joseph Schwartz considers that the possible level of support might be 1.5401, resistance — 1.5586.

Meanwhile, the U.S currency is under pressure after the speech of the U.S Federal Reserve Chair. It became obvious that there is no reason to wait for the increase of the interest rate in the nearest possible time.

The pound keeps steady against the euro, the pair EUR/GBP is at 0.7332. The approval of the Greek package of economic reforms by the European creditors supplied suppport to the single currency.