ARGENTINA: Merval Rises 2.35% Amid Optimism With Elections

By | October 20, 2017

Merval, the main index of the Buenos Aires Stock market, increased 2.35% Thursday, closing at 26,831.01 points, recuperating from recent losses amid investor optimism for a possible triumph of the nationwide government in Sunday’s legislative elections.

On the side of the indicators, the head of the Reserve bank, Federico Sturzenegger, acknowledged that the efforts to include price pressures in Argentina failed to bring inflation to the levels desired by the monetary authorities.

Mirgor stocks rose the most today after reporting that formalized a Memorandum of Understanding with Samsung Electronic devices to collectively advance the setup and operation of commercial properties to be called “Samsung Stores” in the country.

Besides Mirgor (+6.79%), Transener (+6.19%), Aluar (+6%), TGN (+5.90%), and Siderar (+5,57%) likewise increased, while San Miguel (-0.86%) fell.

The locally traded U.S. dollar increased 0.63%, closing at 17.46 Argentina pesos, on the expectation associated to Sunday’s legislative elections.

The product has actually been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

Treasury Reveals Details Of Upcoming Long-Term Securities Auctions

By | October 19, 2017

The Treasury Department revealed the information of next week’s auctions of two-year, five-year, and seven-year notes on Thursday.

The Treasury stated it plans to offer $26 billion worth of two-year notes next Tuesday, $34 billion worth of five-year notes next Wednesday and $28 billion worth of seven-year notes next Thursday.

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

Everyday analysis of Gold for October 19, 2017 888011000 110888 Introduction Gold price begins today’s trading with a bearish bias, moving below 1,281.17 level after closing the day-to-day candlestick listed below it. This puts the cost under more expected unfavorable pressure on the intraday basis, targeting 1,263.15 before attempting to return to rise again. We expect more decrease in the upcoming sessions supported by the negative pressure formed by the EMA50. Please keep in mind that stepping above 1,281.17 will stop the present negative pressure and press the rate to restore its primary bullish track again. The anticipated trading variety for today is in between 1,263.00 assistance and 1,285.00 resistance. The material has been supplied by InstaForex Business-www.instaforex.com

By | October 19, 2017

GOLD-12.17H4.png

Overview

Gold price begins today’s trading with a bearish bias, moving below 1,281.17 level after closing the daily candlestick below it. This puts the price under more expected negative pressure on the intraday basis, targeting 1,263.15 before attempting to return to rise again. Therefore, we expect more decline in the upcoming sessions supported by the negative pressure formed by the EMA50. Please note that stepping above 1,281.17 will stop the current negative pressure and push the price to regain its main bullish track again. The expected trading range for today is between 1,263.00 support and 1,285.00 resistance.

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

Daily analysis of Silver for October 19, 2017 888011000 110888 Overview Silver price is revealing a small bearish predisposition to move listed below 17.00 barrier now. We notice that stochastic reaches the oversold locations now to offer positive signal that supports the opportunities of a bullish bounce, so the general bullish pattern might resume. We still recommend the basic bullish bias for the short term. The expected targets of the bullish wave begin by breaching 17.43 will break the ice to head towards 18.30. Please taking into consideration that breaking 16.56 will stop the expected increase and push the price to decrease towards 15.49 before any brand-new attempt to increase. The expected trading variety for today is between 16.80 support and 17.10 resistance . The materialhas actually been supplied by InstaForex Company-www.instaforex.com

By | October 19, 2017

SILV-12.17H4.png

Overview

Silver price is showing a slight bearish bias to move below 17.00 barrier now. However, we notice that stochastic reaches the oversold areas now to provide positive signal that supports the chances of a bullish bounce, so the overall bullish trend could resume. We still suggest the general bullish bias for the short term. The expected targets of the bullish wave begin by breaching 17.43 will open the way to head towards 18.30. Please taking into consideration that breaking 16.56 will stop the expected rise and push the price to decline towards 15.49 before any new attempt to rise. The expected trading range for today is between 16.80 support and 17.10 resistance.

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

ECB's Nowotny Says Policy Can Be Normalized Before Inflation Returns To Target

By | October 19, 2017

The European Central Bank do not have to wait until inflation reaches the target of ‘below, but close to 2 percent’ to normalize policy and now there are good arguments for slowing asset purchases, ECB Governing Council member Ewald Nowotny said in an interview published in an Austrian daily on Thursday.

“We do not have to wait until the inflation rate reaches 1.9 percent,” Nowotny, who heads the Austrian central bank, said in an interview to the newspaper Der Standard.

“We can normalize the policy earlier.”

Official figures released this week showed that Eurozone inflation was 1.5 percent in September, same as in August. Core inflation eased marginally to 1.1 percent from 1.2 percent.

Nowotny said the ongoing asset purchases of EUR 60 billion a month, which will expire in December, cannot be stopped abruptly. However, it is time to start thinking about how to normalize them and decision will be taken this month as to how to proceed further.

“There are good arguments for slowing purchases,” he said.

The ECB is set to announce its latest policy decision on October 26. Economists widely expect the bank to extend its asset purchases till September 2018, but at a reduced size.

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

Basic Analysis of NZD/USD for October 19, 2017 888011000 110888 NZD/USD has actually been impulsively bearish today as the set broke below the essential support area of 0.7050 just recently. NZD has actually been quite strong amid current financial reports which helped the currency to sustain the gain versus USD. Today without any high effect economic reports the market just moved over 100 pips down swallowing up the recent few days bullish cost action in one go. Today, there are no economic reports from New Zealand, however tomorrow Visitor Arrivals report is due that previously was at -0.3% and Charge card Spending report will be also launched which previously was at 6.4%. There were no projections about this information, so the news can go in any case, but certain speculation protests NZD. On the USD side, today Unemployment Claims report was released with a better-than-expected figure of 222k from the previous figure of 244k which was anticipated to be at 240k and Philly Fed Manufacturing report also came out with a positive figure of 27.9 from the previous reading of 23.8 which was anticipated to be at 21.9. United States CB Leading Index is going to be published which is anticipated to decrease to 0.1% from the previous worth of 0.4% and Natural Gas Storage is anticipated to reduce to 59B from the previous figure of 87B. To summarize, in spite of favorable financial reports from New Zealand, USD has actually dominated the set with its impulsive gains today. This shows that the price is set to continue downward in the coming days. As the United States economic reports this week have actually been quite favorable, the set is expected to move quite impulsively towards the next support level in the coming days.Now let ustake a look at the technical chart. The rate is presently residing listed below the important level of 0.7050. In the coming days certain retracement to 0.7050 is anticipated prior to price relocations down towards 0.6850 assistance level. As the price remains below the vibrant level of 20 EMA and 0.7170 level with an everyday close, the bearish predisposition is anticipated to continue even more. The product has been supplied by InstaForex Business -www.instaforex.com

By | October 19, 2017

NZD/USD has been impulsively bearish today as the pair broke below the key support area of 0.7050 recently. NZD has been quite strong amid recent economic reports which helped the currency to sustain the gain against USD. Nevertheless, today without any high impact economic reports the market just moved over 100 pips downwards engulfing the recent few days bullish price action in one go. Today, there are no economic reports from New Zealand, but tomorrow Visitor Arrivals report is due that previously was at -0.3% and Credit Card Spending report will be also released which previously was at 6.4%. There were no forecasts about this data, so the news can go either way, but certain speculation is against NZD. On the USD side, today Unemployment Claims report was published with a better-than-expected figure of 222k from the previous figure of 244k which was expected to be at 240k and Philly Fed Manufacturing report also came out with an upbeat figure of 27.9 from the previous reading of 23.8 which was expected to be at 21.9. Moreover, US CB Leading Index is going to be published which is expected to decrease to 0.1% from the previous value of 0.4% and Natural Gas Storage is expected to decrease to 59B from the previous figure of 87B. To sum up, despite positive economic reports from New Zealand, USD has dominated the pair with its impulsive gains today. This indicates that the price is set to proceed downward in the coming days. As the US economic reports this week have been quite positive, the pair is expected to move quite impulsively towards the next support level in the coming days.

Now let us look at the technical chart. The price is currently residing below the important level of 0.7050. In the coming days certain retracement towards 0.7050 is expected before price moves down towards 0.6850 support level. As the price remains below the dynamic level of 20 EMA and 0.7170 level with a daily close, the bearish bias is expected to continue further.

analytics59e8aeda32be6.jpg

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

Technical analysis of USD/JPY for October 19, 2017 888011000 110888 USD/CHF is under pressure and anticipated to continue the disadvantage movement. The downward momentum is more reinforced by both declining 20-period and 50-period moving averages. The relative strength index is bearish, calling for another downside. To conclude, below 112.85, try to find a brand-new challenge with targets at 112.10 and 111.85 in extension. If the price relocations in the opposite direction, a long position is advised above 112.85 with a target at 113.15. Chart Explanation: The black line shows the pivot point. The existing cost above the pivot point shows a bullish position, while the cost listed below the pivot point is a signal for a brief position. The red lines show the assistance levels and the green lineshows the resistance level. These levels can be utilized toexit and get in trades.Strategy: SELL, Stop Loss: 112.85, Take Earnings: 112.10 Resistance levels : 113.15, 113.45 and 113.75 Support Levels: 112.10, 111.85, 111.25 The material has actually been supplied by InstaForex Company-www.instaforex.com

By | October 19, 2017

USDJPYM30.png

USD/CHF is under pressure and expected to continue the downside movement. The downward momentum is further reinforced by both declining 20-period and 50-period moving averages. The relative strength index is bearish, calling for another downside.

To conclude, below 112.85, look for a new challenge with targets at 112.10 and 111.85 in extension.

Alternatively, if the price moves in the opposite direction, a long position is recommended above 112.85 with a target at 113.15.

Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.

Strategy: SELL, Stop Loss: 112.85, Take Profit: 112.10

Resistance levels: 113.15, 113.45 and 113.75 Support Levels: 112.10, 111.85, 111.25

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

GBP/USD analysis for October 19, 2017 888011000 110888 Just recently, the GBP/USD pair has actually been trading downwards. As I expected, the cost evaluated the level of 1.3128. According to the 15M time– frame, I discovered rejection from pivot resistance 1 at the rate of 1.3230 in the background, which is an indication that intraday sellers remain in control. Most recently, I found a damaged intraday increasing wedge and rejection from pivot at the price of 1.3185, which is a sign that purchasing looks dangerous. My advice is to watch for potential selling opportuntiies. The down targets are set at the cost of 1.3114(S2)and 1.3087 (S3, extreme intraday target). Resistance levels: R1: 1.3230 R2: 1.3260 R3: 1.3302 Support levels: S1: 1.3158 S2: 1.3112 S3: 1.3087 Trading recommendations for today: watch for potential selling opportunities.The product has been provided by InstaForex Company-www.instaforex.com

By | October 19, 2017

analytics59e8a12e89fad.png

Recently, the GBP/USD pair has been trading downwards. As I expected, the price tested the level of 1.3128. According to the 15M time – frame, I found rejection from pivot resistance 1 at the price of 1.3230 in the background, which is a sign that intraday sellers are in control. Most recently, I found a broken intraday rising wedge and rejection from pivot at the price of 1.3185, which is a sign that buying looks risky. My advice is to watch for potential selling opportuntiies. The downward targets are set at the price of 1.3114 (S2) and 1.3087 (S3, extreme intraday target).

Resistance levels:

R1: 1.3230

R2: 1.3260

R3: 1.3302

Support levels:

S1: 1.3158

S2: 1.3112

S3: 1.3087

Trading recommendations for today: watch for potential selling opportunities.

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

Technical analysis of USD/CHF for October 19, 2017 888011000 110888 USD/CHF is under pressure and expected to trade in a lower variety. The set is trading within the bearish channel, which confirmed an unfavorable outlook. The relative strength index does not have upward momentum. Even though a continuation of the debt consolidation can not be dismissed, its level ought to be limited. The United States dollar pared gains against other major currencies following a four-day winning streak. For this reason, listed below 0.9815, search for a more decrease with targets at 0.9725 and 0.9705 in extension. Chart Explanation: The black line reveals the pivot point. Today rate above the pivot point shows a bullish position, and the price listed below the pivot points shows a short position. The red lines reveal the support levels and the green linesuggests the resistance levels. These levels can be used to go into and exit trades.Strategy: OFFER, Stop Loss: 0.9815, Take Profit: 0.9725 Resistance levels: 0.9805, 0.9835, and 0.9865 Assistance levels: 0.9745, 0.9730, and 0.9700 The material has been offered by InstaForex Company-www.instaforex.com

By | October 19, 2017

USDCHFM30.png

USD/CHF is under pressure and expected to trade in a lower range. The pair is trading within the bearish channel, which confirmed a negative outlook. The relative strength index lacks upward momentum. Even though a continuation of the consolidation cannot be ruled out, its extent should be limited. The U.S. dollar pared gains against other major currencies following a four-day winning streak.

Hence, below 0.9815, look for a further decline with targets at 0.9725 and 0.9705 in extension.

Chart Explanation: The black line shows the pivot point. The present price above the pivot point indicates a bullish position, and the price below the pivot points indicates a short position. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.

Strategy: SELL, Stop Loss: 0.9815, Take Profit: 0.9725

Resistance levels: 0.9805, 0.9835, and 0.9865

Support levels: 0.9745, 0.9730, and 0.9700

The material has been provided by InstaForex Company – www.instaforex.com

Jonathon Alexander

NZ Dollar Extends Slide As New Zealand First Forms Coalition With Labour

By | October 19, 2017

The New Zealand dollar continued to be lower versus its significant counterparts in early European trading on Thursday, after New Zealand’s 3rd largest political party New Zealand First revealed the formation of a union with Labour, with Jacinda Ardern set to become the Prime Minister.

The leader of the New Zealand First Winston Peters announced his assistance behind Labour to form a union government, after weeks of negotiations.

The brand-new coalition will also be supported by the Green Party.

The news sparked development worries as the new union prefers significant cut to immigration quotas and put new controls on foreign ownership of property.

The currency was also injured by concerns over the constitutional crisis in between Spain and Catalonia after the Spanish government said it would continue with the procedures set out in Post 155 of the Constitution to restore the legality of self-rule in Catalonia.

Spain prime minister will assemble an unique Cabinet meeting Saturday to trigger process to take control of Catalonia’s powers.

Also in focus is the European Council meeting starting today, with Brexit speak with be high on the program. Although the U.K. wishes to start speak about future relations, the EU 27 is firmly insisting enough progress on divorce terms.

The currency has actually been trading in a negative territory in the Asian session.

The kiwi decreased to more than a 5-week low of 79.15 versus the yen, off early more than 2-week high of 80.95. The kiwi is seen finding assistance around the 78.00 mark.

Information from the Ministry of Financing showed that Japan logged a merchandise trade surplus of 670.17 billion yen in September.

That beat forecasts for a surplus of 556.8 billion yen following the downwardly revised 112.6 billion yen surplus in August

The kiwi dropped to 1.1184 against the aussie, its least expensive given that April 2016. The pair finished Wednesday’s trading at 1.0966. Additional weak point might take the kiwi to a support around the 1.14 area.

The kiwi lost 1.7 percent to hit near a 5-month low of 0.7027 against the greenback, compared with 0.7149 hit late New york city Wednesday. The kiwi is poised to find assistance around the 0.69 mark.

The kiwi slid to 1.6801 against the euro, a level hidden considering that May 2016. The set was valued at 1.6478 when it closed offers on Wednesday. The next possible assistance for the kiwi is seen around the 1.70 level.

Looking ahead, U.S. weekly out of work claims for the week ended October 14 and leading indications for September are set for release in the New york city session.

The material has been offered by InstaForex Company – www.instaforex.com

Jonathon Alexander