Asian trade exchanges increased
Asian Stocks increased in the past few sessions, This is because the influence of Wall Street that its movement is improved, and supported by Fed Chairman Janet Yellen’s speech on Monday. On the other hand Bank of Australia also held interest rates at 1.75% at the monetary meeting held, such as the analysis of economists had predicted from the far distant day.
Post-speech rate hike by the Fed, market expectation remains unchanged, market participants still expect a rate hike is expected to happen this month. While for July are also expected rate hike will take place at the earliest, while for the month of September the analysts are still waiting for the results of this month and in July.
The Nikkei declined 0.58% to 16650, China’s Shanghai Composite flat at 2936.21 levels, and the Hang Seng Hong Kong led gains of 1.42% to 21153. The Kospi index of South Korea (KS200) recently opened after a holiday on Monday also rose 1.42% to 247.85.
Hang Seng strengthening itself affected of stocks rose as the stock China Mobile Ltd that rose 3.35 percent, shares of China Unicom Hong Kong Ltd rose 2.96 percent, China Resources Land Ltd. shares rose 2.87 percent, shares of China Mengniu Dairy Co Ltd rose 2.84 percent, shares of China Shenhua Energy Co Ltd rose 2.81 percent.
Technically
Resistance: 21124 21135 21153 High / Low: 21148/19438
Support: 21040 20987 20 963 Closed Price: 21099
Comment: For intraday trade today suggest Sell 20820; stop loss at the level of 20874; the target at the level of 20 521.
The Aussie dollar increase in RBA
The Australian dollar rose on Tuesday after the Reserve Bank of Australia kept interest rates and signaled it was in no hurry to remove monetary policy further on signs economic growth is strong enough. Pound himself recovering much of the three-week lows vs dollar on Monday following two newspaper poll on Tuesday which showed Britons support to remain in the EU. The results are in contrast to a survey released on Monday that showed more people prefer to leave the EU.
Australian dollar versus the US dollar was up 1.22% on a month to settle in the point 0.7455 and the pound sterling versus the US dollar was up 0.94% at a price of 1.4548 when this article was made.
The dollar eased closer to four-week lows against other major currencies because traders speculated when the Federal Reserve will raise interest rates after comments from Fed Chairman Janet Yellen on Monday and reports employee data reported on Friday.
RBA as expected continue to increase by maintaining the currency at a record low of 1.75 percent, after cutting last month for the first time in a year.
“It shows the RBA patience. This does not mean an immediate cut in rates followed a month,” said Thierry Albert Wizman, observers global interest rates and currencies at Macquarie Limited in New York.
Many traders were disappointed that the RBA statement gave no hint of further easing, which causes them to change the earlier decision on US interest rate cuts, and send AUD to higher prices.
Technically
Resistance: 0.7454 0.7460 0.7468 High / Low: 0.7460 / 0.7207
Support: 0.7439 0.7433 0.7424 Running Price: 0.7446
Comment: For Intraday trade today suggest Sell 0.7385; stop loss at 0.7424; targets at 0.7320 levels.
Gold prices fell in Asian session
Gold eased slightly in Asian trade on Wednesday morning, This is attributed to investors who prefer to be cautious ahead of the Fed meeting next week.
On the Comex division of the New York Mercantile Exchange, gold for August delivery decreased 0.04% to $ 1,246.55 per troy ounce.
Silver for July delivery fell 0.02% to $ 16.390 per troy ounce, while copper for July delivery rose 0.10% to $ 2.054 per pound.
Overnight, gold fell from two-week highs hit on Tuesday in spite of a stronger dollar, as investors continue to react to comments from Federal Reserve Chairman Janet Yellen on the strength of the global economy and the possibility of higher interest rates in the summer.
But while last week’s domestic labor market suffered an unexpected shock when the Labor Department reported that the economy added 38,000 in May, the fewest number of monthly job in nearly six years.
Investors are bullish on gold are those who favor a gradual tightening of monetary policy by the Fed during the present cycle. Gold, which is not attached to the interest rate, struggling to compete with other high assets in a global trading environment which are on the rise.
Technically
Resistance: 1244.20 1245.70 1247.45 High / Low: 1247.65 / 1234.33
Support: 1242.45 1241.62 1240.95 Running Price: 1243.65
Comment: For intraday trade today suggest Buy at 1245.70; stop loss at the level 1244.20; the target at the level of 1248.83.
