Nikkei Week Successful Early Rise
Could get enough pressure in early trading on the Japanese stock market on Monday, but at the end of trading the Nikkei index rebounded successfully closed, by utilizing Japanese Yen weakening Asian session on Monday. The movement of the Japanese yen in the Asian session today, seemed disappointed with the decline in the release of data Coincidet Index and the Leading Economic Index of data in the country in July last, which overall is much lower than the previous release.
Nitto BOSEKI shares and stock Heiwa Real Estate became the leader of the biggest weakness throughout the trading day on Monday, with closed sharply lower by -18.56% and -13.86%, but managed reinforced by a surge in shares of Nippon Koyaku at 12:09% responding to government approval for the manufacture of drugs cancer recently, stock Ricoh 9:31%, by responding to the purchase of a stake of 8.6% by Effissimo Capital Management Singapore, Sumitomo Heavy Industries 7.61%, shares of Mitsubishi Logistics 3:45%, shares of Denso 2.88%, and shares of Toshiba were still able to close bolted 1.76% , despite reporting a decrease in net profit of 38.6 billion yen.
Japanese stock market was trading on Monday, the Nikkei index successfully amplified by 68.31 points, or 0:38%, by becoming 17860.47 points from the closing position at the end of the previous trading at 17792.16 points position and managed to record the biggest gains Monday on the position 18013.64 points and the largest decline in the position of 17478.72 points.
Slightly different from the movement of the index Nikkei Monday, which successfully closed sped by 340 points, or 1.90%, to be 17 885 points, from the closing position traded earlier at position 17 545 points, and managed to record the highest increase was traded Monday at position 18 020 points and the lowest decline at position 17 475 points.
Japanese stocks traded further, investors are expected to be re-let down by poor results of the release of Q2 GDP data in the country, in which are expected to be show a significant decrease from the previous release.
Technically, the index on the trading session today, Tuesday (08/09) likely to strengthen, test positive trend. At the M15 chart bullish hammer formation to provide opportunities for the index to move upside. However, the volume tends to increase, as well as an early indication of bullish index. In addition, RSI, the M15 chart, was oversold, signaling upside.
It is estimated, the index test the first resistance level that is 17 750 and 17700. If it fails at 17815, then the next index is expected to tend to retest the support level of 17840 and continued up to the possibility of being in the 17900 area.
Sterling Rebound Away From Low Level
Sterling away from 4-month lows against the dollar on Monday, as bargain hunting that characterizes the post-selloff has cut the sterling exchange rate of nearly 4% in just 2 weeks. Disappointing data from the UK service sector last week raises further doubts about whether the Bank of England may raise interest rates in the near term given the volatility and global growth worries today.
Although the BoE Governor Mark Carney said that the recent slowdown in the Chinese economy does not change the position of the central bank regarding when and how the BoE will raise interest rates, it recognizes that it can reduce the rate of UK inflation remains low. A month ago, the financial market expects interest rates kenaiakn around the beginning of next year, this time they estimated the earliest time to move from the BoE is in April and May. Investors are looking forward to meeting nine members of the Monetary Policy Committee and the release of the minutes of the meeting on Thursday nant. Last month only 1 MPC members that support a rate hike in the near future.
According to one of the strategic, sterling at the level which seems quite low, so there may be no upward movement in sterling this week. However, they also say that it is too early for the BoE to change the language, with increasing global risks, the reasons for the assessment a little more hawkish, so there may be opportunities Thursday’s meeting results will be disappointing sterling.
Technically, today’s trading session on Tuesday (08/09), pound sterling-dollar pair has an opportunity to move in a positive trend.
The strengthening of the pound sterling mainly expected soon reexamine the minimal resistance at 1.5330 and maximum 1.5400. Meanwhile, if the pound sterling was able to break and stays below 1.5276 then another alternative scenario, ie the pound sterling likely to test support in 1.5250 area and 1.5200.
Gold Price Surviving Due on Unsatisfied US Economic
The price of gold is still stuck in the lowest area in the past two weeks despite US economic data stating that the US unemployment rate fell to the lowest level in the last seven years. These data increase the chances of a rate hike in the US this month.
On these conditions, the price of gold bullion quickly decreased by 0.4% in early trading this week at around the price of $ 1117.89 per ounce, although it up again at the price of $ 1123.26 per ounce from the Singapore stock exchange. On Friday, gold prices even fell to $ 1,116.93 which is the price termurahnya since 19 August. Weekly performance was also noted as a week decreased in two consecutive weeks.
The average rate of US unemployment drop to 5.1% in August. This is the lowest number since April 2008, as a US government report on Friday. The FED is indeed looking forward to a good time to do a tighter monetary policy when the economy allows, of course, such conditions are less favorable and decrease the allure of gold as an investment asset.
The average number of low unemployment became an indicator that the FED may raise interest rates in September. It also can be a sign of gold prices will weaken as well. At least we are sure that they will not do this time. New confidence it emerged that the new interest rate will be raised in 2016.
US economic data stating that the numbers of new jobs available are only able to add jobs for 173 thousand workers in August. This figure is less than the initial estimate, but still rising as the amount of the increase that occurred in July were better than the previous month, in June. With the condition number remuneration (payroll) in August were still disappointing, a number of economists was disappointed that missed the initial estimate. However, they believe this figure will be renewed rise in the next month’s report. Traders estimate that the move to raise interest rates in December was only about 32 percent of convictions, compared to last month more optimistic up to 54%.
Not many people are quite confident with the conditions of today’s jobs report. This further increase the expectations of a rate hike in September this. Although the figures in June and July has been improved and upgraded, still rise in August that was still below 200 thousand to the still disappointing. This gives pause for the Fed to tighten policy. Of course, this moment is an opportunity for the gold price to survive and remain above the price of $ 1.100 per ounce.
In trading month of August, the price of gold recorded its biggest rise in a month since January. The increase in the price of gold during the month is not out of the market’s attention on China’s poor economic conditions. Tail is a selloff that hit various stock exchanges, even recorded the biggest selloff this time in the last three years. At the meeting of the leaders of the Finance group 20 countries, the G20 on Friday and Saturday also discussed the efforts to improve the economy. China’s central bank governor, Zhou Xiaochuan, said on Saturday in the yard of their official website that the collapse of Chinese stocks was nearing the end.
The price of gold futures for December delivery rose 0.1 percent to $ 1,122.30 an ounce on the Comex – New York. Carat gold bullion at 99.99 per cent had dropped 1.6 percent to 230.60 yuan per gram or equal to $ 1,126.71 per ounce in Shanghai Gold Exchange, this is the lowest price since Aug. 19, before trading at 231.14 yuan back.
Technically, gold in today’s trading session Tuesday (08/09) 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 Band begins to widen, thus giving impetus for gold to the upside.
It is estimated that the gold price immediately prior to test support in the area of at least 1114.33 and re-test the maximum level of 1109.73. However, if the price of gold is able to break and hold above 1119.30, the predicted gold prices could potentially test Resistance ie, 1121.40 and 1126.72.
