Market news and trade recommendations by FBS

[riki143]

MARKET NEWS
18 December 2014

Key option levels

FXBAZOOKA.com - Market prices tend to move towards the strike price at the time large vanilla options (ordinary put and call options) expire. It happens (all things equal) as each side of the deal seeks to hedge its risk exposure. This action is most noticeable ahead of 10 a.m. New York time when the majority of options expire (15:00 GMT).

Here are the key options expiring today:

EUR/USD: 1.2300 (EUR 2.7bln), 1.2400 (EUR 2bln), 1.2430 (EUR 500m), 1.2450 (EUR 572m), 1.2500 (EUR 866m), 1.2500/05 (EUR 1.3bln), 1.2525 (EUR 1bln), 1.2600 (1.7bln);

USD/JPY: 116.50 (USD 1bln), 117.00 (USD 1.2bln), 117.65 (USD 1.5bln), 117.85/118.00 (USD 1.8bln);

NZD/USD: 0.7720 (NZD 250m);

EUR/CHF: 1.2010 (EUR 350m);

EUR/GBP: 0.7850 (EUR 770m), 0.7905 (EUR 400m);

EUR/JPY:147.50 (EUR 750m).

More:
FX BAZOOKA - Key option levels

 

[riki143]

Forex Analytics

Forex trading plan for Dec. 19

The FOMC meeting: a small step towards the rate hike, but it all depends on inflation.

EUR/USD approaches the 2014 lows on the increased Fed hike expectations. Friday’s focus will be on the GfK German Consumer Climate (7:00 GMT).

USD/CHF, EUR/CHF: Swiss franc fell as the SNB introduced negative interest rates.

USD/JPY: recovered from support, next stop – the Bank of Japan’s meeting.

GBP/USD: tested 1.5540, but remains range bound.

Commodity currencies recover versus the USD amid improved risk appetite.



More:
FX BAZOOKA - Forex trading plan for Dec. 19

 

[riki143]

MARKET NEWS

Dec. 19: MARKET OVERVIEW

Risk sentiment has improved by the end of the week: Asian stocks showed good gains following growth on Wall Street on the relief that the Fed isn’t in a hurry to withdraw stimulus from the US economy. Stocks gained even despite oil stayed under pressure (Brent inched up 11 cents to $59.38 having lost over a $1.00 on Thursday). This means that investors are starting to see the positive sides in lower fuel costs. Japanese Nikkei climbed 2.0%, while Australia’s main index went up by 2.1%.

USD/JPY rose to 119.40: as the Bank of Japan maintained unprecedented stimulus. The BOJ offered a brighter view of the economy in a sign of confidence Japan can weather global market turbulence.

EUR/USD consolidates at 1.2280, slightly above the 2014 lows. Watch the GfK German Consumer Climate at 7:00 GMT.

AUD/USD remains supported at 0.8170, NZD/USD – at 0.7780. December ANZ Business Confidence above the forecast (31.5 vs. 30.4 expected).

More:
FX BAZOOKA - Dec. 19: MARKET OVERVIEW

 

[riki143]

Forex Analytics

EURUSD: weekly review (19/12)

Tatiana Norkina analyst FBS

Daily. Last week the pair recovered to the lower border of Ichimoku cloud. But the bulls run out of power and the end of the week the pair was again in the negative area. Bears do not unloose the grip, continuing major downtrend.

At the same time, oscillators are growing and forming the divergence. In addition to this, the attention should be paid to Tenkan and Kijun lines that narrowed the range of the channel to the maximum. It is possible that after lows testing at the beginning of December, one will see the growth of the pair to the 34th figure.

Graph. Daily EUR / USD

H4. At the four-hour timeframe the trading moved into the negative zone below Ichimoku Cloud again. Here the indicator lines rebuilt and support the bears now. Therefore the dead cross was formed, and the cloud was descending, these facts can be taken as a confirmation of the downtrend continuation in the near future.

Graph. H4 EUR / USD

More:
FX BAZOOKA - EURUSD: weekly review (19/12)

 

[Bilal Jafar]

I really like the way Tatiana Norkina analyze different currency pairs and specifically analysis about the pair of EUR/USD, your previous analysis about the pair helped me a lot in trading, I have started with a Demo account with FBS and testing my trading strategies according to the news and analysis like this, I'm looking forward to open an live account in near future.

 

[riki143]

Forex Analytics

GBPUSD: weekly review (19/12)

Tatiana Norkina analyst FBS

Daily. The currency pair has continued to consolidate in the range of 1.5550-1.5800 more than a month. GBP/USD tested its upper bound last week, but it stumbled on resistance Kijun-sen line, and then jumped again to the bottom.

Ichimoku indicator is expected for the declining in the rate. When the pair is attached under Tenkan and Kijun lines near 1.5650 / 80, one will wait for the resumption of the downtrend.

Otherwise, attempts to restore the market to the lower boundary of the cloud are possible, but the probability of such scenario is quite low.

Graph. Daily GBP / USD

H4. At the four-hour time frame the currency pair was fixed under the cloud at the end of the week. Moreover, the bulls are unable to break the resistance of the horizontal Kijun-sen in the area of 1.5650 / 80. Tenkan and Kijun lines formed a dead cross which became a signal for new sales of the pair. The cloud is also expanding down, strengthening the bearish disposition.

Graph. H4 GBP / USD

More:
GBPUSD: weekly review (19/12) - FX BAZOOKA

 

[riki143]

Forex Analytics

USDJPY: weekly review (19/12)

Tatiana Norkina, an analyst FBS

Daily. The situation on the currency pair can be described as the development of correction at the moment. Last week the pair went under the support of Tenkan and Kijun lines, fixing December lows at 115.50. But in the second half of the week the bulls managed to restore the pair to the 119th figure, breaking the resistance of the lines.

Securing of these levels would mean a speedy resumption of the uptrend. Otherwise, the correction may have a better sequel to test the level of the cloud top.

Graph. Daily USD / JPY

H4. On four – hour graphs the trading was below Ichimoku Cloud. But pretty soon the bulls managed to return prices to the lower boundary, and break the resistance level of the strongest indicator lines by the end of the week.

Tenkan-Sen and Kijun-sen formed a golden cross, supporting the bullish determination.

Oscillators also moved into positive territory, showing that bulls took a tack at least at 120.70.

Graph. H4 USD / JPY

More:
USDJPY: weekly review (19/12) - FX BAZOOKA

 

[riki143]

Forex Analytics

USDCHF: weekly review (19/12)

Tatiana Norkina, an analyst FBS

Daily. Bulls managed to resume the uptrend, using the support of the upper limit of the daily Ichimoku cloud. At the beginning of the week one could see a gradual depreciation of Senkou Span A. However, immediately after the level testing, the rate of the currency pair was soared to new highs above the 98th figure. As a result, Ichimoku indicator kept a positive attitude, leaving the active gold cross and expanding cloud up. Obviously, the bullish trend will be relevant in the near future.

Graph. Daily USD / CHF

H4. At the same time, the pair was quite overbought on the four-hour graphs - Chinkou line entered in the appropriate zone, threatening corrective depreciation at the beginning of the coming week.

Ichimoku indicator is quite optimistic: the gold cross is active, the cloud is bullish and continues to grow up.

Oscillators also emerged from the bearish area and focus on the "North".

Graph. H4 USD / CHF

More:
USDCHF: weekly review (19/12) - FX BAZOOKA

 

[riki143]

MARKET NEWS

Dec. 22: MARKET OVERVIEW

Risk sentiment in this holiday-shortened week is rather good. MSCI’s broadest index of Asia-Pacific shares outside Japan extended gains and was up 1.1%. Australian shares surged 1.6%. Japan’s Nikkei stock average erased early gains and was flat ahead of a Japanese public holiday on Tuesday.

EUR/USD has recovered from the Friday’s low of 1.2210 to 1.2250. Euro zone is scheduled to release second-tire economic data today: German Import Prices and Consumer Confidence. This week the market will be focused on the Greek presidential election on Dec. 23 and 29. Greek President announced his readiness for consessions if the President will be elected in 2014.

AUD/USD returned to 0.8170 in Asia. The 0.8100 mark remains highly supportive.

GBP/USD rose a bit to 1.5650.

USD/JPY is trading in the 119.50 area after 3 days of growth.

More:
Dec. 22: MARKET OVERVIEW - FX BAZOOKA

 

[riki143]

MARKET NEWS

Dec. 23: MARKET OVERVIEW

EUR/USD consolidates at 1.2230, holding above the 2.5 year low of 1.2215. ECB easing expectations leave euro under pressure. Euro zone will release French consumer spending data at 8:45 GMT.

USD/JPY rose to a fresh 2-week high above 120.00: It’s a bank holiday in Japan, so the liquidity volume was lower than usually. Us dollar was helped by a record-closing high on Wall Street.

AUD/USD is testing the 0.8100 mark to the downside.

Watch the US economic figures later in the day: final Q3 GDP (forecast: upbeat), November durable goods orders, home prices and inflation.

More:
Dec. 23: MARKET OVERVIEW - FX BAZOOKA