Dollar lower against yen on profit-taking

The dollar was lower against the yen in quiet holiday trading on Thursday, with profit-taking trimming the greenback's gains from earlier this week.

 The dollar moved in an extremely tight Y104.25-Y104.49 range on Dec. 25 and in a Y84.60-Y84.96 range on Christmas Day in 2012. 

The dollar fell to as low as Y120.06 at midday but the downside remained well supported.

"With a lack of fresh cues, the dollar will continue to lack the momentum to test its upside," said Mizuho's Mr. Yoshii, adding that the greenback will likely move in a Y119-Y121 over the short term.

In other currency trading, the euro was at $1.2218 from $1.2203 and at Y146.73 from Y147.15.

The WSJ Dollar Index, a measure of the dollar against a basket of major currencies, was down 0.15% at 82.59.

Asian Market Update

Asian markets were mixed Friday with trade quiet across the region as key bourses remained closed for the Christmas holidays.

Tokyo slipped 0.17 per cent by the break, while Shanghai edged up 0.18 per cent, Shenzhen added 0.04 per cent and Seoul was up 0.24 per cent in morning trade.

Trade was muted in Asia as stock exchanges in Hong Kong, Australia, New Zealand, the Philippines and Indonesia were closed Friday for a public holiday.

There was also no overnight guidance from Europe or the US markets, which were closed for Christmas.

Current Market Update

Here are the latest trading levels for Asia's major stock markets: 

Tokyo (Nikkei Average) down 0.1% 

 Hong Kong (Hang Seng Index) closed for holiday 

 Shanghai (Shanghai Composite Index) up 1.2% (at break) 

 Sydney (S&P/ASX 200) closed for holiday 

 Seoul (Kospi) up 0.3% 

 Mumbai (Sensex) up 0.4% 

 Taipei (Taiex) up 0.2%

KLSE IForex Recommendations

TRADING TIPS :

EUR/USD held steady, near two-year lows at 1.2236.Earlier Tuesday, official data showed that French consumer spending rose 0.4% in November, beating expectations for a 0.3% gain. French consumer spending fell 0.8% in October, whose figure was revised from a previously estimated 0.9% decline.Another report showed that France’s economy grew by 0.3% in the third quarter, in line with expectations and unchanged from the previous quarter’s growth rate.The dollar remained broadly supported after the Federal Reserve signaled last week that it was on track to raise interest rates next year but said it was taking a patient stance. The central bank also acknowledged the improvement in the U.S. labor market and noted that the economy is making progress toward its goals in inflation and employment.




INTRADAY OUTLOOK
Support: 1.2208
Resistance: 1.2263

RECOMMENDATION:
1. Buy EUR/USD Above 1.2265-TG:1.2285/1.2315 SL 1.2235
2. Sell EUR/USD Below 1.2205-TG:1.2185/1.2155 SL 1.2235

INTRADAY OUTLOOK
Immediate Support: 1.5531
Immediate Resistance: 1.5592

RECOMMENDATION:
1. Buy GBP/USD Above 1.5595-TG:1.5615/1.5645 SL 1.5565
2. Sell GBP/USD Below 1.5528-TG:1.5508/1.5478 SL 1.5558

KLSE Stock Recommendations

MARKET UPDATES :

The secondary property market in the country has good potential as the prices of the houses could be 30-40 per cent lower than the new ones, said the Malaysia Institute of Estate Agents (MIEA).Its president, Siva Shanker, said many people were unaware of the hidden ‘gems’ in the secondary property market.The buyers should should explore them instead of complaining and whining about the escalating prices of new houses  he said.“The data have proven that property prices in the secondary market are very much similar to those in the primary market and if comparisons are made in terms of location and size, they are much cheaper and affordable.



STOCK RECOMMENDATION :

BUY STATS CHIPPAC ABOVE 0.470 TARGET 0.500 0.550 SL 0.430