BoK Decision Sustains Kospi
The impact of the Bank of Korea’s surprise decision yesterday still overshadow South Korean stock exchange on Friday (13/3), the Kospi 200 Index rose about 1% followed by an increase of about 0.4% Kospi Index Futures. In order to avoid deflation and boost the economy, South Korea’s central bank to follow step 20 other central banks that have loosened policy in 2015. South Korea The interest rate lowered by 25 basis points to a record low of 1.75%. Easing interest rates would lead to the prospect of cheaper money to lift market confidence to invest in risky sectors such as stock. Domestic currency traded at 1123 per dollar, held near two-year lows area.
Blue-chip stocks add to gains Kospi. Steel producer POSCO shares rose 2.11%, followed by Samsung Electronics giant company stock that jumped 1.66%. SK Hynix chip manufacturing companies follow the upward trend with an increase of 1.16%.
So far the Kospi Index 200 rose 2.62 points or 1.05% in the range of 252.90 and 1:10 Kospi index futures added 0.44% points higher or traded in the range of 253.85.
Technically, the index on the trading session today, Friday (13/03) 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 rise, early indications bullish index. In addition, RSI, the M15 chart, are oversold, signaling upside.
It is estimated, the index test the first support level that is 253.00 and 251.80. If it fails at 253.80, then the next index is expected to tend to retest the resistance level of 254.30 and continued until the possibilities are in the 255.00 area.
Yen Weakens Against US Dollar
The movement of the currency market on Friday (13/3), the yen weakened against the US dollar was observed when the greenback demand experienced improvement after improvement in the US labor market conditions.
Ongoing trade in the Asian session, the USDJPY monitored rose 0.07% to trade at 121.37 where the pair is seen moving touched a session low 121.27 to 121.46 level daily and daily highs for the session.
Yen monitored natural attenuation depressed with the US dollar, while the recovery in the US labor market conditions. Based on the official report released by the US Department of Labor states that the number of jobless claims in the US have experienced a decline, to a seasonally adjusted 289,000 in the week ended March 7th.
However, but the weakening of the yen against the US dollar is still limited due to the weakening retail sales activities in the Americas region. Based on the official report released by the Census Bureau said that retail sales in the United States was a natural decrease of 0.6% in February.
Meanwhile, switch to the Asian economic reports later the market will be faced with the Japanese industry report at 11:30 am Jakarta time. Survey of economists had forecast that the Japanese industrial output was revised without change of 4.0% in January.
Technically, today’s trading session on Friday (13/03), the dollar yen pair likely to move in a positive trend.
A stronger yen is mainly expected to immediately re-examine the minimum resistance at 122.10 and 123.00 maximum. Meanwhile, if the Yen was able to break and stays below 121.45, the other alternative scenario that Yen likely to test support in 121.10 and 120.50 area.
Gold Price Moves in the Green Area
The movement of the metal commodity futures exchange on Friday (13/3), the price of gold and silver was observed to move up to the higher trade by trying to continue the hike after successfully closed higher this morning.
Ongoing trade in the Asian session, gold futures have traded April pengirman 0:41% higher at $ 1.156.60 per troy ounce on the Comex division of the New York Mercantile Exchange. This morning gold price movements were seen moving to hit a session low $ 1.151.30 to $ 1.157.70 level daily and daily highs for the session.
As for May delivery silver this morning looks naturally rise, trading higher by 0.63% at the level of $ 15,613 per troy ounce which is observed to move hit a session low $ 15,537 to $ 15,633 level daily and daily highs for the session.
In the previous session, gold prices seem to be able to survive for closed up $ 1.30, or 0.1%, at $ 1.151.90 per troy ounce, while natural attenuation was sharply amid the improvement in labor market conditions in the US.
Based on the official report released by the US Department of Labor states that the number of jobless claims in the US have experienced a decline, to a seasonally adjusted 289,000 in the week ended March 7th.
However, a decrease in the price of gold is still limited due to the weakening retail sales activities in the Americas region. Based on the official report released by the Census Bureau said that retail sales in the United States was a natural decrease of 0.6% in February.
While it is still in the US, the market is waiting for the release of a report on the US consumer sentiment which is scheduled to be released at 21:00 Jakarta time. Survey of economists have estimated that US consumer sentiment will naturally rise, to a seasonally adjusted 95.6 in March.
In line with the increase in consumer sentiment, the lower the potential experienced by the price of gold is getting bigger and will encourage the strengthening of the US dollar, given the movement both tend opposite. But on the contrary, if the result of the US consumer sentiment naturally decrease the chances of a stronger gold price can occur.
Technically, gold trading session today, Friday (13/03) potential reversal, tested positive trend, but prone to taking profit. RSI indicator tends to re-test resistance and aiming the bullish channel, but Bollinger Bands that began to shrink, thus giving impetus to the gold to the downside.
It is estimated that the gold price immediately prior to test resistance in the area of at least 1164.10 and re-test the maximum level of 1170.87. However, if the price of gold was unable to break and stays below 1159.50 then estimated the price of gold could potentially test the 1156.78 and 1150.40 Support.
