Kospi Approach Highest Level 6 Months
South Korean stock market, Kospi, bounce back and move close to the highest level in the last six months, Samsung Electronics is a concern to the South Korean stock exchange trading today.
US stocks were higher on Monday also provide positive sentiment for the stock, the Wall Street rose due to the possibility of arrest over the benchmark interest rate by the Federal Reserve after US employment data released far below expectations.
Samsung provides an estimate of the operating profit of 5.9 trillion won in the period from January to March. This figure is higher than the Reuters survey estimate of 5.3 trillion won, but fell away from the previous year operating profit of 8.5 trillion won.
The KOSPI (KS11) rose 0.15% to 2049.55, the Kospi (KS200) rose 0.25% to 257.56. While the range of 258.25 Kospi Futures traded at 8:38 pm, after briefly touching daily highs and lows 259.05 257.95
Technically, the index on the trading session today, Tuesday (07/04) 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 255.10 and 253.80. If it fails at 257.95, then the next index is expected to tend to retest the resistance level of 258.80 and continued until the possibilities are in the 259.50 area.
Dollar Rebound Along Thinness Trade Volume
The dollar rebounded against the currency pair towards the end of the New York trading session as thin trading volume. Investors revise its assessment of the signals of slowing US economy as a temporary phenomenon. EURUSD currency pair closed lower at $ 1.0922 and the USDJPY pair rose for the first time in four sessions at the level of 119.54 yen.
Analyst Mark McCormick, currency strategist at Credit Agricole, which is quoted by the Wall Street Journal stated that the Federal Reserve became the only central bank will tighten monetary make investors continue to re-invest in US Dollars. McCormick added, the US economy in the first quarter a lot to get the bad weather and a strike in the port on the West Coast area.
Better weather and a deal for strike action will have a positive impact on perekonmian in the coming months. Strong economy is expected to facilitate the move of the Federal Reserve launched a monetary tightening as well as a factor strengthening US Dollar.
Technically, the trading session today, Tuesday (07/04), the dollar yen pair a chance to move in the negative trend.
The weakening of the yen mainly expected soon reexamine the minimum support at 117.20 and 115.90 maximum. Meanwhile, if the Yen was able to break and hold above 119.54, then the other alternative scenario that Yen chance to test resistance in 120.10 and 121.70 area.
Gold Flat As Dollar Rebound
Gold flat after rebounding US dollar remove weakening in the previous session. Gold closed the trade at the level of $ 1214.75 per troy ounce, with daily highs and lows $ 1,224.18 $ 1,213.43 daily.
Gold could obtain survey data support the non-manufacturing ISM fell in March and US employment data last week were disappointing, making investors projecting the Federal Reserve would not rush to raise interest rates. ISM reported US non-manufacturing index fell in March, indicating the services sector grew at a slower pace. For investors, weak economic data will delay the rate hike. This delay is positive for gold because the precious metal is often used provide hedging (hedge) against inflation.
This week, gold investors will await FOMC meeting minutes released early Thursday hiri. Investors expect the minutes of the meeting containing the details of the FOMC officials middle of last month will provide clearer guidance related to interest rate policy the US central bank. Signal delay to raise US interest rates will increase the charm of non-interest assets such as gold.
Technically, gold in today’s trading session on Tuesday (07/04) 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 Bands that began to widen, thus giving impetus to the gold to the upside.
It is estimated that the gold price immediately prior to test support in the area of at least 1210.33 and re-test the maximum level of 1205.73. However, if the price of gold is able to break and hold above 1213.40, the estimated price of gold could potentially test the 1215.40 and 1217.72 resistance.
