Worldwide macro introduction for 21/03/2017

By | March 21, 2017

Worldwide macro overview for 21/03/2017: The last Minutes of the Reserve Bank of Australia policy conference highlighted the continuous improvement in the worldwide environment, the stronger-than-expected rise in Q4 GDP in Australia, and assumptions that regards to trade could be stronger than expected. However, the positive tone was contrasted with deepening real estate threat: “Current data continued to suggest that there had actually been a build-up of threats associated with the housing market. In some markets, conditions had been strong and costs were rising briskly, although in other markets prices were declining”, is the direct quote from RBA declaration. As we remember, the latest RBA decision was to keep the interest rates on hold at the level of 1.50% which is a record low level since August 2016. Some analysts state, that policymakers are reluctant to lower interest rates to avoid fanning an overheated home market, which appears to have actually run even hotter in the latter half of 2016. Home prices in Sydney and Melbourne specifically skyrocketed in 2016 thanks to a stable rise in financial investment. In conclusion, the GDP forecast was satisfied (GDP growth rebounded 1.1% in the last quarter of 2016.), however the overheated residential or commercial property market may get worse in the future.

Let’s now have a look at the AUD/USD technical picture in the H4 time frame. The market is trading in a tight horizontal zone between the levels of 0.7718 – 0.7740, simply below the swing top at the level of 0.7777. The marketplace conditions are overbought and a clear bearish divergence recommends a restorative cycle may come any time now. The next technical assistance is seen at the level of 0.7000 and after that 0.7662.

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

Jonathon Alexander

Technical analysis of USD/JPY for March 21, 2017 888011000 110888 USD/JPY is anticipated to trade with bearish predisposition as the essential resistance is at 113.00. The pair is combining below its 20-period and 50-period moving averages, which are playing resistance roles. The relative strength index is listed below its neutrality level at 50 and lacks upward momentum. Additionally, 113.00 is playing a crucial resistance, which must limit the upside potential. As long as this key level hangs on the upside, look for a more drop towards 112.05 and even 111.65 in extension. The set is trading listed below its pivot point. It is likely to sell a lower range as long as it stays listed below the pivot point. Short positions are recommended with the very first target at 112.05. A break listed below this target will move the set more downwards to 111.65. The pivot point stands at 113.00. It will move above its pivot point if the cost moves in the opposite instructions and bounces back from the assistance level. It is likely to move further to the benefit. According to that scenario, long positions are recommended with the first target at 113.50 and the2nd one at 114.00. Resistance levels: 113.50 , 114.00, and 114.45 Assistance levels: 112.05, 111.65, and 111.25 The product has actually been offered by InstaForex Company-www.instaforex.com

By | March 21, 2017

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USD/JPY is expected to trade with bearish bias as the key resistance is at 113.00. The pair is consolidating below its 20-period and 50-period moving averages, which are playing resistance roles. The relative strength index is below its neutrality level at 50 and lacks upward momentum. Additionally, 113.00 is playing a key resistance, which should limit the upside potential.

As long as this key level holds on the upside, look for a further drop toward 112.05 and even 111.65 in extension.

The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 112.05. A break below this target will move the pair further downwards to 111.65. The pivot point stands at 113.00. If the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 113.50 and the second one at 114.00.

Resistance levels: 113.50, 114.00, and 114.45

Support levels: 112.05, 111.65, and 111.25

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

Jonathon Alexander

Technical analysis of USD/CHF for March 21, 2017 888011000 110888 USD/CHF is supported by a rising trend line. The technical outlook of the set is favorable as the rate is supported by a rising pattern line considering that March 17. The rising 20-period and 50-period moving averages suggest that the cost still has a potential for a further advantage. The relative strength index is likewise supported by the bullish trend line because March 15. As long as 0.9955 is not broken, anticipate a brand-new increase to 1.0020 and even to 1.0045 in extension. Resistance levels: 1.0020, 1.0045, and 1.0070 Assistance levels: 0.9935, 0.9920, and 0.9900 The product has been provided by InstaForex Company-www.instaforex.com

By | March 21, 2017

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USD/CHF is supported by a rising trend line. The technical outlook of the pair is positive as the price is supported by a rising trend line since March 17. The ascending 20-period and 50-period moving averages suggest that the price still has a potential for a further upside. The relative strength index is also supported by the bullish trend line since March 15.

Therefore, as long as 0.9955 is not broken, expect a new rise to 1.0020 and even to 1.0045 in extension.

Resistance levels: 1.0020, 1.0045, and 1.0070

Support levels: 0.9935, 0.9920, and 0.9900

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

Jonathon Alexander

Technical analysis of NZD/USD for March 21, 2017 888011000 110888 NZD/USD is anticipated to dominate its benefit movement. The set is trading above its increasing 50-period moving average, which plays a support function and keeps the advantage bias. The relative strength index stands firmly above its neutrality level at 50 and does not have down momentum. In addition, the downside potential should be limited by the key support level at 0.7015. To sum up, as long as this key level hangs on the drawback, anticipate a further rise to 0.7070 and even to 0.7085 in extension. The pair is trading above its pivot point. It is most likely to sell a wider variety as long as it remains above its pivot point. For that reason, long positions are suggested with the first target at 0.7070 and the 2nd one at 0.7085. In the alternative situation, brief positions are recommended with the very first target at 0.7000 if the rate moves listed below its pivot points. A break of this target may press the pair further downwards, and one may anticipate the second target at 0.6975. The pivot point is at 0.7015. Resistance levels: 0.7070, 0.7085, and 0.7110 Support levels: 0.7000, 0.6975, and 0.69655 The material has actually been provided by InstaForex Business-www.instaforex.com

By | March 21, 2017

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NZD/USD is expected to prevail its upside movement. The pair is trading above its rising 50-period moving average, which plays a support role and maintains the upside bias. The relative strength index stands firmly above its neutrality level at 50 and lacks downward momentum. In addition, the downside potential should be limited by the key support level at 0.7015.

To sum up, as long as this key level holds on the downside, expect a further rise to 0.7070 and even to 0.7085 in extension.

The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.7070 and the second one at 0.7085. In the alternative scenario, short positions are recommended with the first target at 0.7000 if the price moves below its pivot points. A break of this target may push the pair further downwards, and one may expect the second target at 0.6975. The pivot point is at 0.7015.

Resistance levels: 0.7070, 0.7085, and 0.7110

Support levels: 0.7000, 0.6975, and 0.69655

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

Jonathon Alexander

RBA Minutes: Gradual Increase Tipped For Inflation

By | March 21, 2017

Members of the Reserve Bank of Australia’s monetary policy board anticipate to see consumer prices continue to rise, although at a steady pace, minutes from the bank’s March 7 meeting revealed on Tuesday.

At the conference, the central bank held its benchmark loaning rate consistent at 1.50 percent as anticipated, after reducing the rate by 25-basis points each in August and Might.

“The board judged that holding the position of policy unchanged at this meeting would follow sustainable development in the economy and attaining the inflation target over time,” the minutes stated.

The members kept in mind that the Australian economy is continuing to move away from a concentrate on mining investment, in spite of a mild rebound in commodity costs, the minutes revealed.

Regards to trade have actually also increased in current months.

The financial outlook continues to be underpinned by the lower interest rates.

“Looking forward, year-ended growth was anticipated to pick up slowly to be above its prospective rate over the forecast duration,” the minutes said.

Nevertheless, the RBA kept in mind that an appreciating currency exchange rate would complicate this modification.

Further, the bank observed differing conditions in the housing market around the country. Borrowing for real estate also picked up over the recent months. Supervisory steps have contributed to some conditioning of lending requirements.

“Domestic wage pressures stayed suppressed and family earnings growth had been low, which, if it were to persist, would have ramifications for usage development and the threats presented by the level of household financial obligation,” the minutes said.

On Tuesday, the Australian Bureau of Statistics stated that home rates in Australia advanced 4.1 percent on quarter in the fourth quarter of 2016. That beat forecasts for a gain of 2.5 percent following the 1.5 percent increase in the 3rd quarter.

On an annual basis, prices surged 7.7 percent – once again beating price quotes for 6.3 percent and up from 3.5 percent in the 3 months prior.

Melbourne saw the biggest through the year at 10.8 percent, followed by Sydney at 10.3 percent.

Attached houses costs fell in Perth (1.7 percent), Brisbane (1.3 percent) and Darwin (2.5 percent), while rates rose in all other capital cities.

The total worth of Australia’s 9.8 million residential homes increased A$ 274.2 billion to A$ 6.4 trillion.

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

Jonathon Alexander

Australia House Rates Jump 4.1% In Q4

By | March 21, 2017

Home rates in Australia advanced 4.1 percent on quarter in the fourth quarter of 2016, the Australian Bureau of Data stated on Tuesday.

That beat forecasts for a gain of 2.5 percent following the 1.5 percent boost in the 3rd quarter.

On an annual basis, costs surged 7.7 percent – once again beating price quotes for 6.3 percent and up from 3.5 percent in the 3 months prior.

Melbourne saw the biggest through the year at 10.8 percent, followed by Sydney at 10.3 percent.

Attached dwellings prices fell in Perth (1.7 percent), Brisbane (1.3 percent) and Darwin (2.5 percent), while costs increased in all other capital cities.

The total worth of Australia’s 9.8 million residential dwellings increased A$ 274.2 billion to A$ 6.4 trillion.

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

Jonathon Alexander

Crude Oil Drops Near $48 888011000 110888 Crude oil futures edged lower Monday amid reports that OPEC may extend its supply quota experiment beyond this year. OPEC members are cutting production in an effort to drive up oil rates, however a robust U.S. output has prevented any significant rally. WTI petroleum was down 56 cents, or 1.2%, to settle at $48.22/ bbl. With little financial news to ponder, traders paid attention to remarks from Chicago Federal Reserve President Charles Evans. “I believe three is entirely possible, as I acquire more self-confidence in the outlook I could support 3 total this year. That would certainly strengthen my report if inflation began to select up. It could be three, it might be 2, it might be four if things truly pick up,” Evans informed the FOX Service Network. The product has actually been supplied by InstaForex Business – www.instaforex.com

By | March 20, 2017

Crude oil futures edged lower Monday amid reports that OPEC may extend its supply quota experiment beyond this year.

OPEC members are cutting production in an effort to drive up oil prices, but a robust U.S. output has prevented any significant rally.

WTI crude oil was down 56 cents, or 1.2%, to settle at $48.22/bbl.

With little economic news to ponder, traders paid attention to remarks from Chicago Federal Reserve President Charles Evans.

“I think three is entirely possible, as I gain more confidence in the outlook I could support three total this year. If inflation began to pick up, that would certainly solidify my report. It could be three, it could be two, it could be four if things really pick up,” Evans told the FOX Business Network.

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

Jonathon Alexander

Dollar Climbs Versus British Pound On Post 50 Strategies

By | March 20, 2017

The dollar is little altered against the Euro and the Japanese Yen Monday afternoon, but is climbing against the British pound. The absence of U.S. financial information is keeping some financiers on the sidelines at the start of the new trading week. Today’s announcement on the U.K.’s Brexit strategies has actually stimulated the gains against the pound sterling.

British Prime Minister Theresa May will conjure up the Post 50 of the Lisbon Treaty next Wednesday, March 29, hence formally beginning the process of exiting the European Union and paving the way for talks on trade and future relations, which ought to conclude in 2 years.

The buck has climbed to around $1.2345 versus the pound sterling Monday afternoon, from an early 3-week low of $1.2435.

The average asking rates for a house in the UK increased even more in March, the latest study from home tracking website Rightmove showed on Monday. Home rates in England and Wales climbed 1.3 percent month-over-month in March, following a 2.0 percent increase in February.

The dollar slipped to an early low of $1.0777 versus the Euro Monday, but has considering that rebounded to around $1.0735.

The Eurozone job vacancy rate increased in the fourth quarter, Eurostat reported Monday. The job vacancy rate rose partially to 1.7 percent in the fourth quarter from 1.6 percent a quarter back.

Eurozone hourly labor expense grew at a quicker speed in the fourth quarter, figures from Eurostat revealed Monday. Hourly labor cost increased 1.6 percent year-on-year in the fourth quarter, faster than the 1.4 percent increase a quarter earlier.

Germany’s producer costs increased at the fastest speed in more than 5 years in February, figures from Destatis revealed Monday.

Manufacturer rates advanced 3.1 percent in February from previous year, the fastest given that December 2011, when rates gained 3.5 percent. Prices had climbed 2.4 percent in January.

Nonetheless, the yearly rate was somewhat slower than the 3.2 percent increase economists had anticipated.

The greenback has actually retreated to around Y112.585 against the Japanese Yen this afternoon, from an early high of Y112.896.

The product has actually been supplied by InstaForex Business – www.instaforex.com

Jonathon Alexander

Daily Video Technical Analysis|USD/JPY|20th March 2017 888011000 110888 We take a great in-depth look at USD/JPY and see if there are any trading chances for us to make some juicy pips!We combine the art of Fibonacci retracements, Fibonacci extensions, Support & & Resistance together with Stochastic and RSI to identify the best entry, stop loss and revenue targets.Subscribe to me for more day-to-day technical analysis!The material has actually been provided by InstaForex Business-www.instaforex.com

By | March 20, 2017

We take a nice detailed look at USD/JPY and see if there are any trading opportunities for us to make some juicy pips!

We combine the art of Fibonacci retracements, Fibonacci extensions, Support & Resistance along with Stochastic and RSI to determine the best entry, stop loss and profit targets.

Subscribe to me for more daily technical analysis!

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

Jonathon Alexander

Daily Video Technical Analysis – NZD/USD 20th March 2017 888011000 110888 We take a nice detailed take a look at NZD/USD and see if there are any trading chances for us to make some juicy pips!We integrate the art of Fibonacci retracements, Fibonacci extensions, Assistance & & Resistance along with Stochastic and RSI to figure out the very best entry, stop loss and earnings targets.Subscribe to me for more daily technical analysis!The material has actually been supplied by InstaForex Business-www.instaforex.com

By | March 20, 2017

We take a nice detailed look at NZD/USD and see if there are any trading opportunities for us to make some juicy pips!

We combine the art of Fibonacci retracements, Fibonacci extensions, Support & Resistance along with Stochastic and RSI to determine the best entry, stop loss and profit targets.

Subscribe to me for more daily technical analysis!

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

Jonathon Alexander