KLSE IForex Recommendations

TRADING TIPS :

GBP/USD hit 1.5586 during European morning trade, the pair’s highest since December 23; the pair subsequently consolidated at 1.5573, adding 0.10%.The dollar remained broadly supported after final data last week showed that U.S. gross domestic product rose 5.0% in the third quarter, exceeding expectations for a growth rate of 4.3% and up from 3.9% in the three months to June.The strong data fuelled further optimism over the strength of the U.S.economic recovery and added to expectations for the Federal Reserve to raise interest rates next year. The pound found some support after data on Friday showed that U.K. GDP rose 0.7% in the third quarter, in line with expectations and down from a 0.8% growth rate in the three months to June.


INTRADAY OUTLOOK
Support: 1.5520
Resistance: 1.5586

RECOMMENDATION:
1. Buy GBP/USD Above 1.5588-TG:1.1.5608/1.5638 SL 1.5558
2. Sell GBP/USD Below 1.5517-TG:1.1.5497/1.5467 SL 1.5547

INTRADAY OUTLOOK
Immediate Support: 1.2163
Immediate Resistance: 1.2224

RECOMMENDATION:
1. Buy EUR/USD Above 1.2226-TG:1.2246/1.2276 SL 1.2196
2. Sell EUR/USD Below 1.2160-TG:1.2140/1.2110 SL 1.2190

KLSE Stock Recommendations

MARKET UPDATES :

Gunung Capital Bhd’s unit GPB Corporation Sdn Bhd has secured a RM165 million service contract from the Defence Ministry to provide transportation services for the National Service (NS) trainee programme. The tenure of the contract is from Dec 26, 2014 to Dec 25, 2017, the investment holding company which is involved in chartering out land-based transportation assets said in a filing to Bursa Malaysia.The company must provide passenger transportation for NS trainees and trainers by bus or coach for 82 camps, over nine months per calendar year, it said.This involves allocating five 44-seater buses for each of 80 NS camps, and eight 25-seater buses for each of two camps.

STOCK RECOMMENDATION :

BUY SAPURA-KENCANA ABOVE 2.41 TARGET 2.44 2.48 SL 2.36

KLSE Comex Recommendations

INTERNATIONAL COMMODITY NEWS :

Brent oil extended losses into a fourth session on Tuesday, with prices hovering close to a more than five-year low above $57 per barrel, as persistent worries about a global supply glut offset concerns about output disruptions in Libyan.However, forecasts for a 900,000- barrel drawdown last week in oil stocks in top consumer the United States, following a rise to highest recorded December level in the week ended on Dec. 19, checked losses in crude prices. Brent for February delivery fell 8 cents to $57.80 as of 0323 GMT, after tumbling to $57.37 in the previous session, the lowest level since May 2009.



TRADING STRATEGY :

BUY GOLD ABOVE 1189.25 TARGET 1194.25 1200.25 SL 1183.25
SELL GOLD BELOW 1183 TARGET 1178 1172 SL 1189

Euro slides to 2-year low on Greek election fear

The dollar gained ground on the euro and the Japanese yen Monday, with the European single currency trading at a two-year low as Greece prepares for snap elections on a tide of voter resentment against the terms of the country’s international bailout.

The euro EURUSD, -0.12%  fell 0.4% to trade at $1.2153, its lowest level since August 2012. Greek assets sold off after the country’s government failed to win support from lawmakers for its presidential candidate, triggering snap elections that are set for Jan. 25.

Versus the Japanese yen, the dollar USDJPY, -0.16%  was at ¥120.63, up from ¥120.38 late Friday in New York.

Uchida sees the dollar moving in a ¥119-¥121 range, he said.

The WSJ Dollar Index BUXX, +0.01% a measure of the dollar against a basket of major currencies, fell 2 basis points to 83.04. The ICE dollar index DXY, +0.05%  , a measure of the U.S. currency against a basket of six major rivals, rose 0.2% TO 90.207.

Copper Market Update

High-grade copper for March delivery HGH5, +0.41%  declined nearly 1 cent to settle at $2.82 a pound. Copper futures recently fell to their lowest level since June 2010.