skip to main |
skip to sidebar
INTERNATIONAL COMMODITY NEWS :
Gold prices erased gains on Monday, as a short-covering rally that boosted futures to a two-week high earlier in the session lost momentum. Elsewhere, news that Japan has entered a recession fueled demand for the dollar, which pressured gold prices lower. Gold and the dollar tend to trade inversely with one another. On the Comex division of the New York Mercantile Exchange, gold futures for December delivery were down 0.08% at $1,184.60, up from a session low of $1,181.10 and off a high of $1,193.60. The December contract settled up 2.07% at $1,185.60 on Friday.
TRADING STRATEGY :
BUY GOLD ABOVE 1187 TGT 1192,1197 SL 1182
SELL GOLD BELOW 1182 TGT 1178,1173 SL 1187
TRADING TIPS :
EUR/USD was down 0.57% to 1.2455 after Germany’s Bundesbank warned in its monthly report that the outlook for growth in the region’s largest economy was likely to remain weak in the next few months.Earlier Monday, data showed that euro zone exports jumped 9% on a year-over-year basis in September, boosting the trade surplus to 17.7 billion, from 15.4 in August. The surge in exports boosted the outlook for third quarter growth. The Swiss franc has strengthened against the euro in recent sessions ahead of a vote later this month which could force the central bank to increase its gold reserves, a move which could restrict its ability to cap the value of the franc against the euro.
INTRADAY OUTLOOK
Support: 1.2433
Resistance: 1.2495
RECOMMENDATION:
1. Buy EUR/USD Above 1.2493-TG:1.2513/1.2543 SL 1.2463
2. Sell EUR/USD Below 1.2430-TG:1.2410/1.2380 SL 1.2460
INTRADAY OUTLOOK
Immediate Support: 116.13
Immediate Resistance: 116.78
RECOMMENDATION:
1. Buy USD/JPY Above 116.80-TG:117.00/117.30 SL 116.50
2. Sell USD/JPY Below 116.10-TG:115.90/115.60 SL 116.40
The U.S. dollar gained against its main rivals Monday as Japan said it dipped back into a recession in the third quarter, while U.S. economic data continued to paint a picture of strong economic growth.
The dollar USDJPY, -0.04% traded at 116.47 yen, hovering just below a seven-year high of ¥117.05 yen reached earlier Monday. It traded at ¥116.29 late Friday.
The euro EURUSD, +0.15% fell to $1.2454 Monday, after trading above $1.2500 before Draghi’s remarks. Elsewhere, the euro EURGBP, +0.10% fell to 0.7963 pound, compared to 0.7995 pound before Draghi’s remarks.
The ICE U.S. Dollar Index DXY, -0.20% a measure of the greenback’s strength against a basket of six currencies, gained 0.45% Monday to 87.5250.
The pound USDGBP, -0.05% traded at $1.5644 Monday, compared to $1.5670 late Friday.
Here are the latest trading levels for Asia's major stock markets:
Tokyo (Nikkei Average) up 1.7%
Hong Kong (Hang Seng Index) down 0.7%
Shanghai (Shanghai Composite Index) down 0.4% (at break)
Sydney (S&P/ASX 200) down 0.4%
Seoul (Kospi) up 1.1%
Mumbai (Sensex) up 0.1% Taipei (Taiex) down 0.3%
MALAYSIA share prices opened flat on Tuesday with the FTSE Bursa Malaysia Kuala Lumpur Composite Index up 0.21 points to 1806.44.
Volume was 24 million lots worth RM9.34 million.
Gainers outnumbered losers 87 to 51.
