Hang Seng Index Weakens, Dragged Decrease HSBC
Hong Kong shares to lose strength after it opened with modest gains to trade lower on Wednesday morning, as investors seem to be cautious after the People’s Bank of China (PBOC) said in its quarterly policy report that they would maintain “stable policy stance,” and create a financial environment “neutral and moderate” for China’s economic restructuring.
The Hang Seng Index is currently down about 0.8% to 24 323 at 9:55 pm. Penyeret stock decline was greatest for HSBC Holdings Plc, which weigh about 12% on the Hang Seng index, extending weaken from the previous session after reports of alleged tax evasion of their Swiss unit. HSBC shares fell by 1.3% while it was his Standard Chartered PLC also dropped 2.1%. Despite the reports of the PBOC, there was also some banking stocks scored gains, such as China Merchants Bank Co. stock and Bank of Communications Co. each rally 0.8%, shares Agricultural Bank of China Ltd. rose 0.6%, China Construction Bank Corp. 0.2% higher.
Sector other, which weighed on the Hang Seng Index is the stock of China Railways Group Ltd which fell by 2.5% after a news report that they are planning to raise funds up to 12 billion yuan ($ 1.9 billion) through the placement of A-share, although the stock A-share rose 3.4% in Shanghai.
Shares of Chinese coal producers such as China Shenhua Energy Co. down 0.5% after it reported a net profit decline of about 20% from a year ago. Competitors domestikanya that Yanzhou Coal Mining Co. also shares fell 1.1%.
In China, the Shanghai Composite Index was flat after rallying for two consecutive days.
Technically, the index on the trading session today, Tuesday (11/02) is likely to strengthen, test positive trend. At the M15 chart bullish hammer formation provides opportunities for the index to move upside. However, the volume of which is likely to increase, as well as an early indication of bullish index. In addition, RSI, the M15 chart, are oversold, signaling upside.
It is estimated, the index test the first resistance level of 24360 and 24425. If it fails in 24315, we then estimated the index tends to retest the support level of 24 280 and proceed to the possibility of being in the 24230 area.
Pressing British Industry Slowdown Pound
UK manufacturing data better than the predictions are not able to withstand the weakening of the pound sterling against the Greenback trading. The number of UK manufacturing production rose 0.1% in December after a strong growth of 0.8% in November. This increase more than expected 0.1% decline economists polled by Reuters. Meanwhile, the British industrial production declined 0.2% in the last months of 2014, continuing a decline of 0.1% in November and lower than forecast increase of 0.1%.
UK manufacturing growth rate reported slowed in late 2014, but other indicators suggest the possibility of a rebound in early 2015. The UK manufacturing PMI index published last week by a financial services company Markit Ltd., shows the industry sectors benefit from the purchase of low cost so as to recorded an increase in production at the level of 53.0, beating its prediction of 52.6.
Currency pair GBP / USD is trading lower at 17.00 pm in the range of 1.5202 daily lows near 1.5195 and 1.5249 away from daily highs.
Technically, the trading session today, Tuesday (11/02), pound sterling-dollar pair a chance to move in the negative trend.
The weakening of the pound sterling primarily expected soon reexamine the minimum support at 1.5190 and 1.5140 maximum. Meanwhile, if the pound sterling was able to break and hold above 1.5246, then the other alternative scenario that Pound chance to test resistance in 1.5280 and 1.5330 area.
Volatile Gold in the Middle Strengthening Dollar And Outlook Greece
Gold on Wednesday struggled to recover from losses due to the strengthening of the dollar overnight able Balance hunt safe haven asset on uncertainty about the future of Greece in the Euro zone.
Spot gold prices move the range of $ 1.237.50, after yesterday fell by 0.4%, which almost sent the price reached its lowest level in three weeks at $ 1,228.25 reached last week.
Dollar moves at its highest level in a month against the yen at the beginning of the session on Wednesday, supported by a rise in US bond yields, while the uncertainty over Greece’s new debt deal continues to overshadow the movement of the euro currency.
The dollar traded slightly below the 11-year highs against major currencies series.
A stronger greenback has made dollar-denominated gold becomes more expensive for holders of other currencies.
Investors are also awaiting developments in Europe, where possible Greek exit from the euro zone has increased in the last few days after Greek Prime Minister Alexis Tsipras has increased the decisiveness of government debt.
Uncertainty about Greece has membantuemas strengthened in recent sessions, but the strengthening of the dollar has limited gains.
Technically, gold in today’s trading session on Tuesday (11/02) 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 1230.33 and re-test the maximum level of 1225.73. However, if the price of gold is able to break and hold above 1236.20, the estimated price of gold could potentially test the 1238.40 and 1243.72 resistance.
