Nikkei Depressed Strengthening Yen
The Nikkei index of the Japanese stock market in early trading Monday morning (28/9), was opened turn depressed traded rallies before, that Japanese Yen due to the positive response to the statement of the Governor of the Bank of Japan Gov. Kuroda will continue and improve annual monetary policy around ¥ 80 billion, to support economic growth, which is currently growing moderately.
Ballast Japanese stock market this morning is a stock Kawasaki Heavy Industries -2.09%, shares of Mitsubishi Chemical Holdings -1.50%, -0.98% shares of Mitsubishi Motors, Sumitomo Heavy Industries -1.39%, -5.32% stock Hino Motors, Nissan Motor -1.78 %, -2.25% stake in Isuzu Motors, Honda Motor -2.13%, 0.93% stake Canon Sony shares -4% -2% stake Fanuc, Panasonic shares -1%.
The movement of Nikkei spot index this morning opened depressed by 39.77 points, or 0:22%, by becoming 17840.74 points from the closing position at the end of the previous stock exchange trading on the position of 17880.51 points and managed to record the highest shares surge earlier traded at 17880.51 points and the position the biggest drop at the end of the previous week on the position of 17483.69 points.
Likewise movement of index futures this morning opened sharply lower by 200 points or 1:13%, to be 17,760 points from the closing position at the end of trading stock exchanges previously at position 17 960 points and managed to record the highest level traded before at position 17 730 points and the lowest the week previously at position 17 365 points.
Based on the results of the close of trading the Japanese stock market earlier, the analyst estimated that the movement of Nikkei index today will potentially turn weaken with penetrate support at first in the position of 17.450 points with MA5 under BB10 daily, if the movement of the index broke through the first support it is expected to try to penetrate the support second position with 17 270 points below MA5 BB10 daily.
If the movement of the index managed to turn around the direction of rebound, it is expected to try to penetrate below the 17 850 points to MA5 BB10 daily, if the movement of the index broke through the first resistance is expected to try to penetrate the resistance at position 18 020 points by the middle MA5 BB10 daily.
Technically, the index on the trading session today, Monday (28/09) likely to strengthen, test positive trend. At the M15 chart bullish hammer formation to provide opportunities for the index to move upside. However, the volume tends to increase, as well as an early indication of bullish index. In addition, RSI, the M15 chart, was oversold, signaling upside.
It is estimated, the index test the first resistance level of 17 810 and 17 760 7860. If you fail, then the next index is expected to tend to retest the support level that is 17 730 and is likely to be continued until the 17680 area.
Pounds Touch Low Level
Sterling dropped to a 3 ½-month lows against the dollar on Friday and was on track weekly weakening the worst in the last 6 months, due to comments that Fed Governor Janet Yellen predicted rise in interest rates still run in this year. Although the Bank of England will follow the Fed to raise interest rates from low levels historically, but with the condition of UK inflation is stagnant near the zero level, the BoE is not expected to rush, causing investors do not expect a rise in interest BoE until at least The second half of 2016 led to a dollar more attractive than Sterling.
BoE Deputy Governor Ben Broadbent stated that he does not support a rate hike in the near future, not like the other MPC board members. According to him, the cost of labor in the UK need to grow more rapidly so that the rate of inflation close to the central bank’s target.
PMI manufacturing index released next week will be the next clue how the performance of the UK economy. Difference in interest rates and yields due to expectations of a rate hike at the Fed this year has the potential to boost the dollar, and also shore up the pound sterling in line with changes BoE rate hike expectations to be faster than the original estimate.
Technically, today’s trading session on Monday (28/09), pound sterling-dollar pair has an opportunity to move in a positive trend.
The strengthening of the pound sterling mainly expected soon reexamine the minimal resistance at 1.5250 and maximum 1.5300. Meanwhile, if the pound sterling was able to break and stays below 1.5197 then another alternative scenario, ie the pound sterling likely to test support in 1.5160 area and 1.5100.
Gold Closed Down
Gold futures tracked down at the closing session on Friday after Federal Reserve chairman, Janet Yellen, said that he expects a rate hike occurred in the 2015’s.
Gold for December contract dropped $ 8.20, or 0.7%, to $ 1,145.60 an ounce on the Comex and print a weekly gain of 0.7%. Silver for December contract fell 2 cents or 0.1% to settle at $ 15.11 per ounce. This week silver fell 0.3% was observed.
Analysts say that the interest rate is higher can be detrimental to gold because gold “does not pay interest”, so gold becomes a less attractive investment. Moreover, higher interest rates will lift the dollar and the greenback could weigh on dollar-denominated commodities.
Meanwhile, copper for December contract fell 1.9 cents, or 0.8% to $ 2.284 per pound. Platinum for October contract ended up $ 4.70, or 0.5% lower at $ 951.10 per ounce. December palladium rose $ 11.15, or 1.7% to settle at $ 667.60 per ounce.
Technically, gold in today’s trading session on Monday (28/09) potentially bearish, tested negative trend back, but prone to reversal. RSI indicator tends to re-test support channel and towards the oversold area, but Bollinger Band begins to widen, thus giving impetus for gold to the upside.
It is estimated that the gold price immediately prior to test support in the area of at least 1140.33 and re-test the maximum level of 1135.73. However, if the price of gold is able to break and hold above 1145.20, the predicted gold prices could potentially test Resistance ie, 1148.40 and 1153.72.
