The Kospi Surge Last Week
The performance of the domestic stock exchange trading week, the second South Korean ginseng last October, on the whole managed to continue rallies traded the previous week, which is reinforced by the performance of the domestic automotive sector and electronics sector stocks surge which is the impact of the soaring performance of Samsung Electronics.
Sector automotive in the country, such as Hyundai Motor, stock KIA Motors, and stocks Ssangyong Motor seemed to get the biggest gain in a week, which is due an apology from Volkswagen Korea officially to the consumer-related cases of manipulation of exhaust emissions on diesel cars, and declare will take all measures, including the recall, which is where the incident can withdraw the interest of consumers for the domestic auto product.
Likewise, the amazing performance of Samsung Electronics, which managed to raise the shares of electronics in the country, by responding to the company’s profit growth in the third Samsung this year reached 7.3 trillion won (USD 87.6 trillion). This figure is up 5.8% compared with the second quarter operating profit this year. In addition, there are increase in operating profit for four consecutive quarters.
Shares of the amplifier in the week were shares of Samsung Electronics, LG Electronics, Hyundai Motor, Kia Motors shares, shares of Ssangyong Motor, stock Samsung SDI, LG Display shares, Posco shares.
Kospi index movement spot in the second week successfully closed up sharply by 49.85 points, or 2:47%, by becoming 2019.53 points from the closing position at the end of the previous week at 1969.68 points position, and managed to record the biggest surge in stocks in the week to 2,019 positions, 80 points and the lowest at 1986.67 points position.
Likewise, the movement of the futures index Kospi in a week, which managed to record gains of 8.88 points, or 3.61%, to be 246.02 points from the closing position at the end of the prior week at position 237.14 points and managed to record the highest increase in a week in the position of 246.02 points and the lowest in the position 237.63 points.
South Korean stock market is trading, investors are expected to look forward and respond to the results release export and import data, unemployment data and inflation data in the country.
Technically, the index on the trading session today, Monday (12/10) 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 246.25 and 247.00. If it fails at 245.75, then the next index is expected to tend to retest the support level 245.25 and continued up to the possibility of being in the 244.75 area.
Euro Towards Strengthening of 2 Week Streak
The euro extended gains against the dollar on Friday, towards the strengthening of two consecutive weeks, and at the highest level three weeks. Federal Reserve monetary meeting minutes released on Thursday reinforced market confidence if the US central bank will not raise interest rates this year, which makes the dollar continue to be depressed.
Comments Atlanta Federal Reserve President Dennis Lockhart, said on Friday it has not been able to boost the performance of the dollar. Lockhart said the US interest rates are likely to rise in October or December of this year, although some economic data give an idea to the contrary.
Currently market participants predict the Fed will raise interest rates only in the beginning of 2016, although not ruling out the possibility this year.
On the other hand, the minutes of the monetary meeting of the European Central Bank in September showed policy makers see an increased risk of low inflation in the summer, but they still need time to measure how far the impact of market volatility and economic slowdown in China.
Technically, the trading session today, Monday (12/10), the pair Euro-dollar likely to move in a negative trend.
The weakening of the Euro mainly expected soon reexamine the minimum support at 1.1300 and maximum 1.1250. Meanwhile, if the Euro is able to break and hold above 1.1360, then another alternative scenario the Euro a chance to test the resistance at 1.1390 and 1.1440 area.
Gold Touch Peak Level Due to Dovish Fed Minutes
The price of gold rose to its highest level in seven weeks on Friday after minutes from the Federal Reserve’s latest policy meeting showed that the US central bank is in no hurry to Raise interest rates, the attitude of the US dollar hit back.
Spot gold prices rose by 1.5% at $ 1,156.30 / onz, after hitting a peak at $ 1,159.80, the highest level since August 24. Gold rose around 1.5% on the week.
The price of gold on Friday received support from the Fed minutes released Thursday, which showed that the central bank is very cautious on tightening monetary policy even before the release of the jobs data were pessimistic last week that showed a sharp decline in recruitment in US.
An analyst at Natixis said that from the reduction in market sentiment towards a rate hike in the near future. Data out of the US lately is really very pessimistic.
However, the market still showed a cautious stance, with a notice that the minutes also revealed that most Fed officials think that an interest rate hike in nearly a decade should still be possible in 2015.
Weak US economic data and fears over the global economy has cut back expectations for a rate hike, which has helped gold rise nearly 4% so far this month.
Technically, gold on the trading session today, Monday (12/10) the potential reversal, testing positive trend, but prone to profit taking. RSI indicator tends to re-test resistance and aiming the bullish channel, but Bollinger Band begins to shrink, thereby giving impetus for gold to the downside.
It is estimated that the gold price immediately prior to test resistance in the area of at least 1160.10 and re-test the maximum level of 1165.87. But if the gold price could not break and stays below 1155.50 then predicted gold prices could potentially test the Support 1152.78 and 1147.40.
