Market Analysis Friday 14th of June

Kospi ended down 1.4%; 1870 Support
Kospi index ended down by 1.4% at 1882.73 as a sharp decline in the Nikkei have an impact on Asian markets; 1870 will be the support level, which analysts say will be an important technical level.

Technically, the index in the trading session today, Friday (14/06) likely to weaken, test negative trends, the impact of Wall Street. On the bearish engulfing formation M15 chart gives an opportunity for the index to move downside. However, the volume is likely to increase, an early indication of a bullish index. In addition, RSI, on the M15 chart, is in the oversold area, cue upside.

Expected, the index tested the first support level ie 243.61 and 242.39. If it fails at 245.55, then the next index is expected to tend to retest the 246.86 resistance level and continue up the possibility of being in the 248.00 area.

Yen Gains Further Ready
According to Robert Sinche, global strategist at Pierpont Securities Holdings, the yen will strengthen further, due to Japanese investors were disappointed the BoJ monetary easing policies. “The BoJ hopes to buy government bonds will encourage Japanese investors to move capital into overseas markets, which would weaken the yen, but it did not happen” said Robert

Technically, today’s trading session on Friday (14/06), the dollar yen pair has a chance to move in a positive trend.
A stronger yen primarily expected soon reexamine the minimal resistance at 97.67 and 99.17 maximum. Meanwhile, if the Yen was able to break and stays below 95.61 then another alternative scenario that is likely to test support Yen’s in the area of ​​93.84 and 92.45

Gold down 1% as U.S. Jobs Data
Gold and silver fell 1 percent after fewer Americans are filling out an application for unemployment benefits than expected last week, easing pressure on the Federal Reserve to maintain stimulus measures to boost the economy

Technically, gold at today’s trading session on Friday (14/06) 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 ​​1357.86 and re-test the maximum level of 1338.07. However, if the price of gold is able to break and hold above 1385.35 then estimated the price of gold could potentially test the Resistance 1406.44 and 1425.03.

Jalatama Loco London (XULF) Report 30/05/2013

XULF Report

Writing this report this week feels like a broken record as it is just a repeat of previous analysis because the market continues to be range bound. The Organization for Economic Cooperation and Development lowered global growth forecasts and the IMF cut its growth estimate for China making investors trim down risk in equity markets. It does make one doubt the sustainability of the US equity rally if there is no growth or slowing growth elsewhere around the globe. Contrary to popular belief if we do see an equity correction triggered by global growth concerns and a tapering of stimulus gold could make some gains as fund managers diversify into commodities to manage the risk and uncertainty.

Gold is again hovering a few dollars under $1400 and has tested as high as $1397.80 this morning but has been beaten away by the bears for the umpteenth time. The 30 minute chart shows a bullish channel that developed yesterday which manifests the short sentiment. A sharp spike up in price seems to be easily defended by the bears therefore a good indication of a much awaited breakthrough will be if price steadily raises at a sustainable gradient and we see tight consolidation just under $1400. When taking into account the potential rewards of an upward breakout attributed to the prolonged building of pressure mainly between $1380 to $1400 it is worth taking a risk and buying on a pullback. The logical level for a stop loss is below the previous higher low of $1388 which is also below the bottom side of the channel. Short opportunities will arise if Tuesday night’s low of $1373 is broken. The reports to watch out for today are US GDP at 8:30pm and US Pending Homes at 10pm which could shift this static market if the technical fail to.

Market Analysis Thursday 30th of May

ANALYSIS 30-05-2013

HK Shares End Lower Depressed Profit Taking

Hong Kong shares ended lower on Wednesday on profit taking after two days of gains, and investors remain cautious on the outlook for the Chinese economy.

Technically, the index in the trading session today, Thursday (30/05) likely to weaken, test negative trends, the impact of Wall Street. On the bearish engulfing formation M15 chart gives an opportunity for the index to move downside. However, the volume is likely to increase, an early indication of a bullish index. In addition, RSI, on the M15 chart, is in the oversold area, cue upside.

Expected, the index tested the first support level ie 22110 and 22023. If it fails in 22238, we then estimated the index tends to retest the resistance level of 22351 and continued up to the possibility of being in the 22443 area.

Euro Helped German Inflation Data

The euro turned higher against the U.S. dollar after data showed German inflation that exceeded expectations. Inflation in Germany drove at an annual rate of 1.5% in May, faster than the estimated 0.2%.

Technically, today’s trading session on Thursday (30/05), the pair euro dollar likely to move in a positive trend.

A stronger Euro is mainly expected to soon re-test the resistance at 1.3120 minimum and maximum 1.3235. Meanwhile, if the Euro was unable to break and stays below 1.2945 then another alternative scenario the Euro likely to test support at the 1.2820 area and 1.2709.

Gold Up On Strong Demand Physical, Decrease in Equity

Gold rose around 1% on Wednesday, reversing losses from the previous session as the decline in the dollar and equities decline sparked buying of physical gold.

Technically, gold in the trading session today, Thursday (30/05) potential reversal, tested positive trend, but prone to profit taking. Indicator RSI resistance likely to re-test the bullish channel and into the area, but the Bollinger Bands are starting to shrink, thus giving impetus to gold to the downside.

Estimated gold price immediately prior to test resistance at least in the area of ​​1435.33 and re-test the maximum level of 1458.96. However, if the gold price could not break and stays below 1391.25 then estimated the price of gold has the potential to test Support the 1363.65 and 1337.65.