1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

SunbirdFX Daily Analysis 17/08/2011

Discussion in 'Commercial Trade Journals' started by SunbirdChief, Aug 17, 2011.

  1. SunbirdChief

    SunbirdChief Recruit

    Joined:
    Aug 10, 2011
    Messages:
    4
    Likes Received:
    0
    SunbirdFX Daily Analysis 17.08.2011

    Wall Street shed more than 0.5% yesterday, after a few days of risings. This correction was expected and now it is the test for the stock markets. If indices break under yesterday's low, then the panics might flood the markets again. However, if the last two days-high is broken, then it will be a positive signal for the investors.

    GBP/USD
    The pound reached the resistance we estimated it would, at 1.647. The British currency started its run when it got to the support of the 200 SMA in the daily chart and gained over 350 pips since then. It slightly broke the resistance at 1.647 but it lost some of its power by the end of the day.

    The CPI data was better than expected and supported the GBP. The MPC meeting minutes, in which the interest voting results are revealed, will affect today's direction of the pound. A strong break-up can take it to 1.66 and even to the pick at 1.675.

    USD/JPY
    The Japanese Yen seems to be waiting for something to happen, since it has been moving in a narrow range in the last 4 days. It is currently locked between the resistance of 77.0 and the support at 76.5. In fact, unless the JPY breaks one of these borders, it is pointless to try predicting its direction. The general trend here is bearish and therefore it has more chances for breaking down and trying to break the historical low at 76.2. However, if the short-positions holders get stressed, the USD might rise for a while.

    SILVER
    The reversal in the gold which we analyzed yesterday, worked excellent and now there might be an opportunity in the other precious metal- the silver. This metal has been dealing with the resistance at $40 for several weeks, but has not managed to break it yet. An ascending triangle appears in the 4h chart and a strong break-up might launch it to the next resistance at 41.4-41.5.

    www.sunbirdfx.com/daily-analysis



    Warning: Remember, that the prices of shares and other investments can fall fast and you may not get back the money you originally invested. The material here is for general information only and is not intended to be relied upon for individual investment decisions on real cash trading accounts. Take independent advice before making such decisions.
     

Share This Page