FROM: PETER CRUZ DATE: 4th Dec., 2014 – Thurs. Market Brief Some say it’s just a matter of time to cross the psychologically-important line of 120, but the USD/JPY remains top heavy just below the key 120 mark. The pair gained traction overnight on upbeat US data but investors find it “difficult to make major moves” ahead of the crucial events of the ECB meeting later Thursday and the US jobs data Friday, says Shinichiro Kadota, vice president of research division at Barclays. In addition, relatively slow gains in the Nikkei index (up 0.7% midday) is also making the pair top heavy. The USD/JPY will likely gain even without rises in US Treasury yields though increases will add to the pair’s upward momentum, says Taisuke Tanaka, chief FX strategist at Deutsch Securities in a report US bond yields already stand out as attractive because of the ultra-low interest rates in Japan and the Euro-Zone, and the slump in risk currency assets in emerging and resource-based economies. On the data slate there’s Germany Construction PMI; Euro-Zone Retail PMI; Germany PMI; BOE Asset Purchase Target; BOE Rate Decision; ECB Rate Decision and US Initial Jobless Claims. SELL EUR @ 1.2310 OR BETTER - STOP @ 1.2360 – TARGET @ 1.2200 SELL GBP @ 1.5680 OR BETTER – STOP @1.5750 - TARGET @ 1.5580 BUY USD/JPY @ 119.80 OR BETTER – STOP @ 119.10 – TARGET @ 121.25 SELL CL0115 @ 68.00 OR BETTER – STOP @ 69.00 - TARGET @ 65.00 SELL XAU @ 1210 OR BETTER – STOP @ 1220 - TARGET @ 1180 SELL XAG @ 16.40 OR BETTER – STOP @17.20 – TARGET @ 15.20 GOOD LUCK AND HAPPY TRADING PLS. NOTE: 1. ALWAYS REMEMBER TO PUT STOPS WHENEVER YOU TRADE, MARKETS ARE VERY VOLATILE. 2. THE ABOVE BRIEF IS MY PERSONAL OPINION AND DOES NOT CONSTITUTE ANY PROMISES OR GUARANTEES OF PROFITS. TRADING IN CURRENCIES AND COMMODITIES ARE HIGH RISKS AND IT IS NOT FOR EVERYONE.
Posted on: Thu, 04 Dec 2014 04:38:04 +0000