Fort Financial Services
Broker Representative
"Fort Financial Services"- fundamental and technical analysis
28.11.2014
Fundamental analysis
The US dollar is under pressure the whole week. The pair EUR/USD was able to consolidate above the level of 1.2400 amid the German and the US Treasuries bond spreads reduction. The US macroeconomic statistics was generally positive – the durable goods orders increased by 0.4% in October. We should also note the personal consumption expenditures index growth to the level of year on year 1.6%. The Fed focuses namely on this indicator, determining the consumer activity. The new buildings rate sales in October stopped short before the predicted value. Despite the positive background - the euro again showed weakness.
Institutional investors continue to take profits on the short positions within the pair GBP/USD. Despite the UK moderate negative statistics – the pound tested the 58th figure during the day. The retail sales release according to the industrials confederation data (CBI) for November came out worse than the forecasted medians. We should also note a sharp investment decline for the third quarter. As we noted above, to the contrary, the US statistics showed a positive trend. At the moment of quotation the pair pound/dollar fell to the mark of 1.5736.
The pair USD/JPY was under pressure most of the day – traders, concerned about the Bank of Japan governor’s statement that the monetary authorities are worried about the strong yen devaluation, getting rid of the long positions. The price reached the level of 117.45, but then after the US positive macroeconomic statistics bulls were able to recover some lost ground.
Technical analysis
Euro (EUR)
General overview
All traders’ attention will be focused on the Petroleum Exporting Countries meeting in Vienna. We again will see the Brent and WTI quotations decrease that will put some support to the US dollar.
The downtrend trend line short term test at the level of 1.2500 was followed by the consolidation.
The price is finding the first support at 1.2400, the next one is at 1.2300. The price is finding the first resistance at 1.2500, the next one is at 1.2600.
There is a non-confirmed and a weak sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The downward movement will be until the price is under the Cloud.
The MACD indicator is in a neutral territory. The price is decreasing.
Trading recommendations
The approach to the level of 1.2500 may lead to the price rebound down. The potential rebound targets are the support level of 1.2400 and 1.2300.
Pound (GBP)
General overview
The UK 10-year bond yields fell below 2% yesterday that is a bearish signal for the pound. The UK investments volume for the third quarter decreased by 0.7%, indicating the business representatives negative expectations.
There was the downward trend line breakthrough of 1.5660 within the pound. Besides the buyers also managed to consolidate above this level. The bearish trend reversal was amid the low volumes.
The price is finding the first support at 1.5660, the next one is at 1.5550. The price is finding the first resistance at 1.5870, the next one is at 1.5950.
The price is in the Cloud and it is under the Chinkou Span. The Tenkan-sen shows an upward movement and the Kijun-sen shows a horizontal movement.
The MACD histogram is in a positive territory. The price is correcting.
Trading recommendations
We suppose the pair will go to 1.5870 first. Having overcome the first target the price might go upwards to 1.5950 and 1.6030.
Yen (JPY)
General overview
We should expect the lateral trend development throughout the day amid the absence of important macroeconomic statistics publication and the weekend in the United States. The OPEC summit results certainly will have an impact on the balance of power in the Forex foreign exchange market, but we should expect the lowest volatility within the pair dollar/yen.
The US dollar continued to correct downwards relatively to the Japanese yen. The price corrective decline volumes are in the reduced zone, indicating the sellers’ reducing power.
The price is finding the first support at 117.00, the next one is at 115.80. The price is finding the first resistance at 118.00, the next one is at 119.20.
The price is in the Cloud and it is above the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement and form a “Dead Cross”.
The MACD indicator is in a neutral territory. The price is consolidating.
Trading recommendations
If the price fixates below the support 117.00, it may continue the downward trend in the short term. The potential targets are 115.80 and 114.60.
Franc (CHF)
General overview
The Swiss franc has consolidated against the dollar the second day in a row after the US data release that fixed the jobless claims growth and the orders decrease, resulting in the intensified speculations about the world's largest economy growth prospects.
The price is finding the first support at 0.9620, the next one is at 0.9560. The price is finding the first resistance at 0.9680, the next one is at 0.9750.
There is a non-confirmed and a weak buy signal. The price above in the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement and form a “Dead Cross”. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a neutral territory. The price is increasing.
Trading recommendations
We recommend going long with the first target - 0.9680. When the price consolidates above the first target it may go to the level 0.9750.
*Analytical review is presented by the leading analyst of the broker Fort Financial Services, Alexander Kofman.
28.11.2014
Fundamental analysis
The US dollar is under pressure the whole week. The pair EUR/USD was able to consolidate above the level of 1.2400 amid the German and the US Treasuries bond spreads reduction. The US macroeconomic statistics was generally positive – the durable goods orders increased by 0.4% in October. We should also note the personal consumption expenditures index growth to the level of year on year 1.6%. The Fed focuses namely on this indicator, determining the consumer activity. The new buildings rate sales in October stopped short before the predicted value. Despite the positive background - the euro again showed weakness.
Institutional investors continue to take profits on the short positions within the pair GBP/USD. Despite the UK moderate negative statistics – the pound tested the 58th figure during the day. The retail sales release according to the industrials confederation data (CBI) for November came out worse than the forecasted medians. We should also note a sharp investment decline for the third quarter. As we noted above, to the contrary, the US statistics showed a positive trend. At the moment of quotation the pair pound/dollar fell to the mark of 1.5736.
The pair USD/JPY was under pressure most of the day – traders, concerned about the Bank of Japan governor’s statement that the monetary authorities are worried about the strong yen devaluation, getting rid of the long positions. The price reached the level of 117.45, but then after the US positive macroeconomic statistics bulls were able to recover some lost ground.
Technical analysis
Euro (EUR)
General overview
All traders’ attention will be focused on the Petroleum Exporting Countries meeting in Vienna. We again will see the Brent and WTI quotations decrease that will put some support to the US dollar.
The downtrend trend line short term test at the level of 1.2500 was followed by the consolidation.
The price is finding the first support at 1.2400, the next one is at 1.2300. The price is finding the first resistance at 1.2500, the next one is at 1.2600.
There is a non-confirmed and a weak sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The downward movement will be until the price is under the Cloud.
The MACD indicator is in a neutral territory. The price is decreasing.
Trading recommendations
The approach to the level of 1.2500 may lead to the price rebound down. The potential rebound targets are the support level of 1.2400 and 1.2300.
Pound (GBP)
General overview
The UK 10-year bond yields fell below 2% yesterday that is a bearish signal for the pound. The UK investments volume for the third quarter decreased by 0.7%, indicating the business representatives negative expectations.
There was the downward trend line breakthrough of 1.5660 within the pound. Besides the buyers also managed to consolidate above this level. The bearish trend reversal was amid the low volumes.
The price is finding the first support at 1.5660, the next one is at 1.5550. The price is finding the first resistance at 1.5870, the next one is at 1.5950.
The price is in the Cloud and it is under the Chinkou Span. The Tenkan-sen shows an upward movement and the Kijun-sen shows a horizontal movement.
The MACD histogram is in a positive territory. The price is correcting.
Trading recommendations
We suppose the pair will go to 1.5870 first. Having overcome the first target the price might go upwards to 1.5950 and 1.6030.
Yen (JPY)
General overview
We should expect the lateral trend development throughout the day amid the absence of important macroeconomic statistics publication and the weekend in the United States. The OPEC summit results certainly will have an impact on the balance of power in the Forex foreign exchange market, but we should expect the lowest volatility within the pair dollar/yen.
The US dollar continued to correct downwards relatively to the Japanese yen. The price corrective decline volumes are in the reduced zone, indicating the sellers’ reducing power.
The price is finding the first support at 117.00, the next one is at 115.80. The price is finding the first resistance at 118.00, the next one is at 119.20.
The price is in the Cloud and it is above the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement and form a “Dead Cross”.
The MACD indicator is in a neutral territory. The price is consolidating.
Trading recommendations
If the price fixates below the support 117.00, it may continue the downward trend in the short term. The potential targets are 115.80 and 114.60.
Franc (CHF)
General overview
The Swiss franc has consolidated against the dollar the second day in a row after the US data release that fixed the jobless claims growth and the orders decrease, resulting in the intensified speculations about the world's largest economy growth prospects.
The price is finding the first support at 0.9620, the next one is at 0.9560. The price is finding the first resistance at 0.9680, the next one is at 0.9750.
There is a non-confirmed and a weak buy signal. The price above in the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement and form a “Dead Cross”. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a neutral territory. The price is increasing.
Trading recommendations
We recommend going long with the first target - 0.9680. When the price consolidates above the first target it may go to the level 0.9750.
*Analytical review is presented by the leading analyst of the broker Fort Financial Services, Alexander Kofman.