Market Analysis Tuesday 25th of June

Ben Bernanke concerning policy stimulus assessed is unclear

Korean Stock Market Hit Bottom Up to 1800 Points

Lower back movement occurred in South Korea stock market where negative pressure is obtained from the weakening of the majority of stock markets in Asia. Broadly speaking, the Asian stock market sentiment was hit by a concern for the U.S. economy as the potential decrease in the amount of U.S. economic stimulus package.

Technically, the index in the trading session today, Tuesday (25/06) likely to weaken, test negative trends, the impact of Wall Street. At the H4 chart bearish engulfing formation provides opportunities for the index to move downside. However, the volume is likely to increase, an early indication of bullish index. In addition, RSI, on the H4 chart, is in the oversold area, cue upside.

Expected, the index tested the first support level ie 236.97 and 230.55. If it fails at 245.55, then the next index is expected to tend to retest the 251.32 resistance level and continue up the possibility of being in the 256.42 area.

USDJPY soared Related Comments BoJ Iwata

Pairing USDJPY soared 30 points in a while due to BoJ Iwata’s comments stating that the central bank still has several options of monetary policy.

Technically, the trading session today, Tuesday (25/06), the dollar yen pair has a chance to move in a negative trend.

Weakening Yen primarily expected soon reexamine the minimum support at 95.56 and 94.32 maximum. Meanwhile, if the Yen is able to break and hold above 97.55, then another alternative scenario the chance to test Resistance Yen’s in the area of ​​98.84 and 100.04.

Gold prices Makin dimmed, Negative Fundamentals

Gold prices to trade tonight again decreased. As with other futures investments trading, precious metals commodity prices are also overwhelmed by the pressure coming from the U.S. economy. Statement from Fed Governor Ben Bernanke concerning policy stimulus assessed is unclear at the moment. However nominal 85 billion dollars which will be designated as the purchase of the notes is expected to be realized in the next year.

Technically, gold at today’s trading session on Tuesday (25/06) potentially bearish, test returned negative trend, but prone to reversal. RSI indicator tends to re-test support channel and towards the oversold area, but Bollinger Band which began to widen, thus giving impetus to gold to the upside.

Estimated gold price immediately prior to test support at least in the area of ​​1241.00 and re-test the maximum level of 1212.01. However, if the price of gold is able to break and hold above 1281.70 then estimated the price of gold could potentially test the Resistance 1310.78 and 1337.61.