KOSPI Closed In Red Zone
South Korean shares closed down on Thursday. Seirin of the Federal Reserve hinted at a potential interest rate rise in the year-end.
The benchmark Korea Composite Stock Price Index (KOSPI) declined 3:36 points to 2,049.41. Trading volume was moderate at the level of 336.8 million shares worth 3.92 trillion won (US $ 3.44 billion). Federal Reserve Janet Yellen stated in the day yesterday, the central bank decided to raise interest rates in December, which was translated by market watchers possibility of such a move correctly.
From the automotive industry, Hyundai Motor closed unchanged at 165.500 won. Kia Motors fell 1:39 percent to 56.900 won. POSCO lost 0.27 percent to 187,000 won and Korea Zinc moving down 1.04 percent at 476.000. Hyundai Steel fell 0.55 percent to 53,800 won.
Market giant Samsung Electronics rose 0.9 percent to 1,342,000 won and chipmaker SK hynix up 0.15 percent at 32.650.
Technically, the index on the trading session today, Friday (11/06) likely to weaken, test negative trends, the impact of Wall Street. At the M15 chart bearish engulfing formation provides opportunities for the index to move downside. However, the volume tends to increase, an early indication of bullish index. In addition, RSI, the M15 chart, was oversold, signaling upside.
It is estimated, the index test the first support level 251.80 and 251.00. If it fails at 252.35, then the next index is expected to tend to retest the 252.75 resistance level and continued up to the possibility of being in the 253.30 area.
Pound Drops Sharply By BOE Statement
British royal country’s currency is the pound sterling in early trading today since the Asian session on Thursday managed to rise from the previous trading despite weakening PMI construction data strengthened significantly. But the pair GBPUSD movement since the announcement of the results of the monthly meeting of the BOE immediately slid down deep enough and until the American session the pair tonight getting hit.
In a monthly meeting of the BOE MPC on Thursday, it was decided to cut its forecast for inflation and economic growth are also shown in the GDP data for the year to 2017. In addition due to the raising of the country’s benchmark interest rate for November did not occur and the BOE will raise the discourse of economic stimulus for the country.
Is this sentiment that reverses the direction of GBPUSD trades are trying to get up on the trade Thursday, but gains will occur if the US dollar weakens fundamental to suppress the value of the currency exchange rate of the global primary.
Aussie dollar movement of GBPUSD in the American session on Thursday to move down after opening weaker at 1.5387 in early trading (0000 GMT), the pair fell 64 pips or 0, 6% to the value of rolling at 1.5323.
Technically, the trading session today, Friday (6/11), pound sterling-dollar pair has an opportunity to move in a negative trend.
The weakening of the pound sterling mainly expected soon reexamine the minimum support at 1.5160 and maximum 1.5100. Meanwhile, if the pound sterling was able to break and hold above 1.5213, then the other alternative scenario that is Pound chance to test resistance in 1.5240 and 1.5290 area.
Gold Weakens Before the US Labor Data
Gold is still weak, the losers for 7 days in a row, although the US unemployment data worse than expected. The increase in the dollar index weighed on gold and investors were reluctant to trade the precious metal a day before the data Non-Farm Payrolls (NFP).
US rate hike speculation is becoming a center of attention and commentary Atlanta Fed President Dennis Lockhart, who supports the Fed’s hawkish signal Chairwoman of the previous day, to distract investors from the addition of 16,000 US jobless claims last week, the biggest increase since the end of February. The increase in US interest rates are negative for gold does not give flowers.
Data SPDR Gold Trust, Exchange-Traded Fund (ETF) based on the world’s major gold, showed a decrease in deposits to 680.11 tonnes on Wednesday, the lowest level in 6-weeks.
Gold trading ended at the level of $ 1105.15 per troy ounce, down 0.27%.
Technically, gold in today’s trading session on Friday (11/06) 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 1100.10 and re-test the maximum level of 1095.25. However, if the price of gold is able to break and hold above 1105.80, the predicted gold prices could potentially test Resistance ie, 1108.90 and 1113.50.
