Visible Kospi Alert
Visible Alert Kospi Kospi struggled to maintain the momentum strengthening as the outbreak of caution ahead of several important events over the weekend. BoE and ECB will release the results of its monetary policy meeting tonight will not change the predicted low interest rate policy.
However, investors want to see whether the ECB’s Draghi’s press conference will provide clues to how much the central bank wishes to undertake quantitative easing policy. Data on non-farm payrolls in the weekend will also get attention because it can also determine how quickly the Federal Reserve will raise interest rates in 2015.
On the corporate side, Hyundai Steel rallied 2% after the company reported a 133% surge in annual operating profit for the third quarter of 2014. The Kospi futures are now trading at 245.80; look away from a daily high level 246.57.
Technically, the index in the trading session today, Thursday (11/06) is likely to strengthen, test positive trend. In a bullish hammer formation M15 chart gives an opportunity for the index to move upside. However, the volume is likely to increase, as well as an early indication of a bullish index. In addition, RSI, on the M15 chart, is in the oversold area, cue upside.
It is estimated, the index test the first resistance level of 250.50 and 252.10. If it fails at 248.05, then the next index is expected to tend to retest the support level of 247.00, followed by the possibility of being in the 245.50 area.
US Dollar versus Yen Finally Touch Highest Position
The US dollar rose to the highest level observed in 7 years against the yen and most other major currencies after the release of a series of US economic data pushed the greenback moved higher.
The dollar strengthened after US economic data supported US stocks rose after the release of the data supported ADP or Automatic Data Processing reported that private-sector job growth in the US, outside the agricultural sector, government, and industry have risen as much as 230,000 jobs in October. Surveys estimate that economists have US job growth would be increased by 214,000 in October.
ISM or Institute for Supply Management has stated that the non-manufacturing PMI in the US has decreased, menjad a seasonally adjusted 57.1 in October, from 58.2 in September. Survey of economists have estimated that the non-manufacturing PMI US will decrease to 58.2 in October.
USDJPY traded higher 114.68 yen from 114.34 yen the previous session, ended higher EURUSD $ 1.2467 compared to $ 1.2548 the previous session and GBPUSD fell at the level of $ 1.5869 and last traded at $ 1.5933.
The ICE Dollar Index, which measures the strength of the greenback against other major currencies, rose 0.64% to 87.5340.
Technically, today’s trading session on Thursday (11/06), the dollar yen pair likely to move in a positive trend.
A stronger yen is mainly expected to immediately reexamine the minimum resistance at 116.50 and 118.70 maximum. Meanwhile, if the yen is not able to break and stays below 114.91 then another alternative scenario, namely Yen likely to test support in 113.10 and 111.50 area.
Gold Free Fall After US Data
At the close of trading on commodity exchanges Wednesday metals, gold was observed to fall sharply after the dollar rose to the highest post in the release of US economic data put precious metal in the lowest position.
Gold for December delivery fell $ 27.90 or 2.4% to $ 1,140 an ounce. Gold futures were likely to find support at $ 1,139.20 and the highest resistance at $ 1,142.10.
ADP or Automatic Data Processing reported that private-sector job growth in the US, outside the agricultural sector, government, and industry have risen as much as 230,000 jobs in October. Surveys estimate that economists have US job growth would be increased by 214,000 in October.
ISM or Institute for Supply Management has stated that the non-manufacturing PMI in the US has decreased, to a seasonally adjusted 57.1 in October, from 58.2 in September. Survey of economists have estimated that the non-manufacturing PMI US will decrease to 58.2 in October.
Meanwhile, silver for delivery in December fell 72 cents or 4.5% to $ 15.24 an ounce, platinum for delivery in January fell $ 24.90, or 2%, at $ 1,199.80 an ounce, while palladium for delivery in the month December slumped $ 32.65, or 4.1% to $ 758 per ounce, copper for December delivery fell 1.4% or 4 cents at $ 2.98 per pound.
Technically, gold trading session today, Thursday (11/06) reversal potential, test positive trend, but prone to taking profit. The RSI indicator is likely to re-test resistance bullish channel and into the area, but the Bollinger Bands which began to shrink, thus giving impetus to gold to the downside.
It is estimated that the price of gold immediately prior to test resistance at least in the area of 1148.00 and re-test the maximum level of 1153.10. However, if the price of gold could not break and stays below 1143.50 then estimated the price of gold has the potential to test the 1140.80 and 1137.00 Support.
