U.S. GDP Grew Much Less Than Estimated In Q2

SmartForexNews

MT5 -With private inventory investment, consumer spending, and exports all rising by less than previously estimated, the Commerce Department released a report on Thursday showing that the U.S. economy expanded by less than previously reported in the second quarter.

The report showed that U.S. gross domestic product increased at an annual rate of 1.3 percent in the second quarter compared to the previous estimate of 1.7 percent growth.
The downward revision came as a surprise to economists, who had expected the rate of second quarter GDP growth to be unrevised.

Published: 2012-09-27 12:50:00 UTC+00 10 hours, 32 min. ago

U.S. Weekly Jobless Claims Fall More Than Expected

SmartForexNews

MT5- In a positive sign for the sluggish labor market, the Labor Department released a report Thursday morning showing a much bigger than expected drop in initial jobless claims in the week ended September 22nd.

The report showed that jobless claims fell to 359,000 from the previous week's revised figure of 385,000. Economists had expected jobless claims to drop to 376,000 from the 382,000 originally reported for the previous week.

With the bigger than expected drop, jobless claims fell to their lowest level since coming in at 357,000 in the week ended July 21st.

Published: 2012-09-27 12:46:00 UTC+00 10 hours, 36 min. ago

German Unemployment Rises In September

SmartForexNews

MT5-Germany's unemployment increased by 9,000 in September from the prior month, the Federal Labor Agency said Thursday. Economists had forecast unemployment to rise by 10,000.

The number of unemployed rose by 11,000 in August.

On a seasonally adjusted basis, the jobless rate came in at 6.8 percent, unchanged from the prior month and matched economists' expectation.

Published: 2012-09-27 08:05:00 UTC+00 15 hours, 17 min. ago

Finland's Business Confidence Remains Weak

SmarForexNews

MT5-Finland's business confidence continued to be weak in September, data from a survey by the Confederation of Finnish Industries showed Thursday.
The manufacturing confidence index came in at -8 points, little changed from -9 points recorded in August, which was revised down from -7 points. The measures of production expectations and order books showed weakness during the month, while stocks of final goods decreased modestly.
The corresponding indicator for the construction sector dropped to -24 points in September from -20 points in August, indicating a further deterioration in confidence.
Meanwhile, the indicator of sentiment among Finnish traders improved to -4 points in September from -6 points. The service sector confidence index recovered slightly to 2 points from 0 points in August, data showed.

Published: 2012-09-27 06:28:00 UTC+00 16 hours, 54 min. ago

Silver Technical Levels and Trading Recommendations for September 25, 2012

SmartForexAnalysis

Overview

The H4 chart shows today that silver is still trading between the Support level 33.90 and the Resistance level of 34.25. In case that silver continues its bearish view and manages to break this Support level, it will provide a good opportunity to sell below the Support level as well as will make it possible to reach the Support level of 32.50 as a level target. After that we should wait for breaking out of this Support level to continue the bearish move. In case silver is able to break the Support level of 32.25 and closes 4H below, we will get a bearish strength which will provide new sell signals and enable the Support level of 32.65 as a level target.
On the other hand, if silver reverses its bearish move and takes an upward direction after its rebound from the Support level 33.90 , this will be a strong indicator for the bullish move after closing 4H above the Support level enabling the Resistance level 34.25 again. In this case, we should wait for breaking this Resistance level to continue the bullish view. Based on the given H4 chart, the technical indicators provide sell signals, but as long as the Support level of 33.90 is unbroken, the upward move is still expected and invalidating the downward movement. Therefore, we should wait for more confirmations before making the decision.

Resistance and Support levels

R3(35.60)
R2(35.00)
R1(34.25)
S1(33.90)
S2(33.25)
S3(32.65)

Trading Recommendations

According to previous analysis, we recommend selling in case of closing 4H below the Support level 33.90 with TP 33.35; SL closing 4H above the Support level might be appropriate. 

Performed by Analytical expert: Hossam Soliman Ali
InstaForex Companies Group © 2007-2012

 Published: 2012-09-25 12:07:02 UTC+00 50 min. ago

GBP/JPY Technical Levels and Trading Recommendations for September 25, 2012

SmartForexAnalysis

Overview

The H4 chart demonstrates today that the pair continues its bearish move till reaching the Support level 126.15. Currently, the pair is trying to break the Support level of 126.15 . Given that the pair manages to break this Support level and closes 4H below, we will receive a strong indicator for more bearish signals which will enable the Support level of 125.70 as a level target. Then we should wait for breaking of this Support level to continue the downward move and open the way towards the Support level of 125.30.
On the other hand, if the pair fails to break the Support level of 126.15 and bounces from it, it may reverse the bearish move taking an upward move enabling the Resistance level of 126.85. Then we should wait for breaking this Resistance level to provide new bullish signals. In case the pair is able to break the Resistance level and close 4H above, we will get a bullish strength providing new buy signals enabling the Resistance level of 125.75 as a level target. Based on the given H4 chart, the technical indicators provide sell signals, but as long as the Support level 125.80 is unbroken, the upward move is still expected invalidating the bearish outlook.

Resistance and Support Levels

R3(128.40)
R2(127.75)
R1(126.85)
S1(126.15)
S2(125.70)
S3(125.30)

Trading Recommendations

According to previous analysis, we recommend selling after breaking the Support level 126.15 and closing 4H below with TP 125.75; SL closing 4 hours above the Support level will be appropriate.

 

Performed by Analytical expert: Hossam Soliman Ali
InstaForex Companies Group © 2007-2012

 Published: 2012-09-25 10:54:14 UTC+00 2 hours, 3 min. ago

USD/CAD Intraday Technical Analysis and Trading Recommendations for September 25, 2012

SmartForexAnalysis

The USD/CAD pair found resistance around the price level of 0.9915 corresponding to the upper limit of the bearish channel breaking down the lower limit of the consolidation range at 0.9845 which previously acted as support level.

After breakdown of 0.9845, the market went to the downside reaching the price level of 0.9635 testing the lower limit of the depicted bearish long-term channel which expressed a considerable bullish strength.

The USD/CAD pair reacted strongly towards the upper limit of the depicted channel pushing the pair to the downside testing the intraday Support zone 0.9720-0.9700 (neckline of a possible H&S reversal pattern)

It's important to notice that the USD/CAD pair is probably establishing an ascending bottom around 0.9777 which may act as intraday support to be watched.

Price level of 0.9840 still should be watched for price action at retesting as it will probably offer a valid SELL entry with target at the lower limit of the channel around 0.9650. However, fixation above 0.9845 threatens again the bearish view confirming the possible bullish Head & Shoulders pattern depicted on the chart which will be targetting around 0.9920.

Performed by Analytical expert: Mohamed Samy
InstaForex Companies Group © 2007-2012

 Published: 2012-09-25 10:16:24 UTC+00 2 hours, 41 min. ago

GBP/USD Intraday Technical Analysis and Trading Recommendations for September 25, 2012

SmartForexAnalysis

The GBPUSD had one more indecisive movement on Tuesday manifested in the Doji daily candlestick which was followed by a bearish candlestick on Wednesday. However, the pair reacted strongly towards the price level of 1.6160 pushing the pair to test 1.6300 – 1.6350 zone.

On Friday, the GBP/USD pair almost reached the price level of 1.6300 when the market reacted strongly bearish which was manifested in the daily bearish hammer candlestick which strongly suggests an upcoming bearish retracement towards retesting of the broken long-term trend line around 1.6150-1.6100.

The GBP/USD pair is now trapped within consolidation range 1.6160-1.6300.

The view remains bullish in short-term with the test of 1.6300 – 1.6350 zone as long as we have daily closure above the broken long-term trendline depicted on the chart .

Support: 1.6230, 1.6200, 1.6180, 1.6150, 1.6125 and 1.6075.

Resistance: 1.6250, 1.6285, 1.6300, 1.6350 and 1.6390.

Intraday support is seen around 1.6160. However, an obvious break below that level could lead the price to neutral zone in nearest term testing 1.6130-1.6050, while a longer-term support is seen around price level 1.5920 (50% Fibonacci Level).

Performed by Analytical expert: Mohamed Samy
InstaForex Companies Group © 2007-2012

 Published: 2012-09-25 10:13:58 UTC+00 2 hours, 43 min. ago

USD/CHF Wave Analysis for September 25,2012

SmartForexAnalysis

USD/CHF Elliott Wave
For the last few days the USD/CHF pair was trading in a upward move, developing corrective (4) wave (coloured green) of the bigger wave (A) (coloured orange). Yesterday during the European session, we could observe an ascending movement towards the 0.9390 level. Therefore, during the early New York session this major pair did not manage to hold this level and price retraced back to 0.9354 level. At the moment, the USD/CHF pair is trading around 0.9370 level and we are expecting to see the price lower in the next few days, when development of the 5 impulsive wave starts. In accordance with our wave rules and taking into account that the wave 5 should retrace 100% of the wave 1, we can define the potential targets with measuring 1 wave, with Take Profit 1 at 0.9176(100% of wave 1). To reduce the risk, we can use resistance at 0.9450 level as Stop Loss. Also it is necessary to monitor the CHF SNB Chairman Jordan Speaks and U.S. S&P/CS Composite-20 HPI y/y, CB Consumer Confidence, Treasury Sec Geithner Speaks data that can change the rate of the pair.

Support and Resistance
(S3) 0.9283 (S2) 0.9311 (S1) 0.9328 (PP) 0.9355 (R1) 0.9383 (R2) 0.9400 (R3) 0.9427

Trading Forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downward movement. That is why short positions at level 0.9330 with Stop Loss 0.9450 and Take Profit at 0.9176 are recommended.

Performed by Analytical expert: Nicola Delic
InstaForex Companies Group © 2007-2012

 Published: 2012-09-25 10:10:41 UTC+00 2 hours, 46 min. ago

Fitch Affirms Luxembourg Triple A Rating, Stable Outlook

SmartForexNews

MT5-Fitch Ratings affirmed Luxembourg's top notch credit rating on Tuesday citing its developed, ultra-open economy, high income, strong public balance sheet and net external creditor position.

The country's long-term foreign and local currency Issuer Default Ratings (IDRs) was affirmed at 'AAA', Fitch said in a statement. The outlooks on the IDRs are Stable.

The growth slowdown that began since the fourth quarter of 2011 after a strong rebound from the 2008-09 financial crisis is likely to continue. Yet, the economy has outperformed its neighbor Germany, which is the biggest in the euro area, Fitch pointed out.
The agency expects Luxembourg's economy to stagnate this year and have a gradual recovery from 2013 onwards.

Luxembourg has the lowest general government debt among Triple A rated sovereigns at 18 percent of GDP, Fitch said. The country has to address sizeable contingent liabilities in the pension system, which if delayed could have an adverse impact on longer-term fiscal sustainability, the rating agency warned.

Fitch said that further structural measures will be needed on top of the existing 1.2 percent of GDP consolidation plans, effective from 2013, for Luxembourg to reach the medium-term objective of 0.5 percent of GDP structural surplus, which would set the debt/GDP on a declining trend.

Published: 2012-09-25 11:01:00 UTC+00 1 hour, 47 min. ago

Yen Climbs To Near 2-week High Against Australian Dollar

SmartForexNews

MT5-Against the Australian dollar, the Japanese yen that trimmed its early Asian session's decline strengthened in European morning deals on Tuesday.

The yen strengthened to its highest level against the aussie in nearly two weeks at 80.95 around 4:50 am ET. The yen may target 80.50 level on the upside. At Monday's close, the pair was worth 81.19.

Published: 2012-09-25 09:02:00 UTC+00 3 hours, 46 min. ago

-

Hong Kong Trade Gap Narrows In August

SmartForexNews

MT5-Hong Kong's visible trade deficit narrowed to HK$36.03 billion in August from HK$40.13 billion in July, the Census and Statistics Department said in a report on Tuesday.

The value of total exports increased at a pace of 0.6 percent year-on-year after falling 3.5 percent in July. At the same time, imports climbed 0.9 percent, reversing a 1.8 percent drop in the prior month.

For the first eight months of 2012 as a whole, total exports of goods dropped slightly by 0.2 percent. Concurrently, imports of goods rose 0.9 percent. A visible trade deficit of HK$297.8 billion, equivalent to 11.9 percent of the value of imports of goods, was recorded in the first eight months of 2012.

A government spokesman commented that looking ahead, the persistently weak fundamentals of the advanced economies, including those relating to the debt crisis in the Eurozone, will continue to cast a shadow over the global economic outlook.

As such Hong Kong's external trading environment will likely remain difficult in the near term, spokesman added.

Published: 2012-09-25 08:56:00 UTC+00 3 hours, 52 min. ago

Spain Producer Price Inflation Rises Sharply In August

SmartForexNews

MT5-Spain's industrial producer price inflation nearly doubled in August from the previous month, data released by the statistical office INE showed Tuesday.

The producer price index rose 4.1 percent, after climbing 2.6 percent in July. It was the fastest rate since March. The figure rose for the second straight month.

Producer prices in the manufacturing of non-durable goods rose 2.1 percent annually, while those in the production of durable goods increased 1 percent. Prices rose 1.9 percent in the manufacture of consumer goods.

Capital goods as well as intermediate goods industries saw 0.7 percent increase each in producer prices. Producer prices in the energy industry rose 12.6 percent.

Month-on-month, producer prices increased 1.1 percent in August, following a 0.8 percent gain in July. Prices rose for the second consecutive month. The monthly increase was the biggest since January.

Published: 2012-09-25 07:13:00 UTC+00 5 hours, 35 min. ago

Finland August Jobless Rate Rises

SmartForexInfo

MT5-Finland's unemployment rate for the month of August increased from a year ago, data released by Statistics Finland showed Tuesday.

The jobless rate rose to 7.3 percent from 6.6 percent last year. The number of unemployed was 199,000, which was 22,000 higher than the same month last year.

The employment figure remained broadly unchanged at 2.526 million. The activity rate edged up to 66.9 percent from 66.5 percent.

On a seasonally adjusted basis, the unemployment rate for persons aged between 15 and 74 rose to 8 percent in August from 7.8 percent in July. The number of unemployed increased to 216,000 from 210,000. The unemployment rate for persons aged between 15 and 24 also climbed to 18.5 percent from 18.4 percent.

Published: 2012-09-25 06:25:00 UTC+00 6 hours, 23 min. ago

 

EUR/USD. Forecast for September 21, 2012

SmartForexAnalytic

MT5- The hopes for the positive fundamentals were not realized. The descending movement continued after the Asian session. Manufacturing PMI in the Eurozone was above expectations (46.0 against 45.6), services PMI demonstrated worse results: 46.0 against 47.6. 10Y bonds auction was quite successful, the yield made up 5.67% against 6.65%, however, the stock yields grew from 5.69% to 5.77%. There were rumors that the yield rose as the result of speculations in order to make Spain ask for bailout. Same evening, the market got the news that Spain will ask for financial aid next week. After this information the euro reversed its downward movement despite poor jobless claims index from the USA and Markit manufacturing PMI.

We do not expect any macroeconomic data from the Eurozone and the USA today.

Technically, the growth is possible towards 1.3028 (but first we should see a breakout of 1.3002), 1.3081. However, due to yesterday’s fall, 1.2930 area can be tested once again.

Performed by Analytical expert: Yuriy Zaycev
InstaForex Companies Group © 2007-2012

 Published: 2012-09-21 08:19:51 UTC+00 2 days, 14 hours, 59 min. ago

Bank Of Japan Minutes On Tap For Monday

SmartForexNews

MT5-The Bank of Japan will on Monday release the minutes from its monetary policy meeting on August 8 and 9, highlighting a light day for Asia-Pacific economic activity.

At the meeting, the central bank held its benchmark uncollateralized overnight call rate at 0-0.1 percent and also kept the total size of the stimulus program at JPY 70 trillion with the asset purchases of JPY 45 trillion and the credit facility of JPY 25 trillion.

Japan also will see August figures for supermarket sales; they were down 4.9 percent on year in July.

Singapore will provide August figures for consumer prices; in July, CPI was up 0.2 percent on month and 4.0 percent on year.

Hong Kong will release current account data for the second quarter of 2012; the current account surplus in Q1 was 1.7 billion Hong Kong dollars.

Published: 2012-09-23 22:31:00 UTC+00 45 min. ago

No Need For Further Interest Rate Cut, ECB's Coeure Says

SmartForexNews

MT5-Policy makers at the European Central Bank (ECB) are unlikely to cut interest rates further, given the high inflation rate and improvement in euro-area's economic outlook, European Central Bank Executive Board member Benoit Coeure said Sunday.

Speaking to reporters after attending a conference on the Palestinian economy, Coeure said that the jury is still open whether there should be another rate cut.

"It is not absolutely obvious that another rate cut would be necessary in the light of recent economic indicators and in light of inflation developments."

Coeure said economic growth in the Eurozone would be 'very week' this year and next, and inflation will be easing at a relatively slow pace.

"There has to be a detailed analysis on how further cuts in the deposit rate would spill over into different market segments and whether the functioning of money markets is compatible with negative rates," Coeure said.

The central bank at its latest rate-setting session had kept the policy rate unchanged at a record low of 0.75 percent for the second time. The rate was reduced by a quarter point in July.

Published: 2012-09-23 14:14:00 UTC+00 9 hours, 1 min. ago

UK House Prices Post Biggest Aug. Drop As Olympics Deter Home Buyers

MT5-House prices in the U.K. fell for a second consecutive month in August, recording the biggest-ever fall for the month as home buyers disengaged themselves from property search during key Olympic events.
New sellers' reduced asking prices by an average 2.4 percent from a month earlier to GBP236,260 in August, Rightmove said Monday. This followed a 1.7 percent dip in July and was the the largest August fall Rightmove has ever recorded.
The Olympics distraction did not deter new sellers from coming to market during August, with numbers marginally up from the same period a year ago. According to Rightmove, the number of properties coming to the market increased 0.4 percent annually to 127,992.
House prices in London fell 1.2 percent month-over-month in August to GBP454,875. This was, however, 8.8 percent higher than a year earlier. Property prices fell 2.6 percent month-on-month in Wales.
Sellers who come to market in the middle of the summer holiday season often have an urgent reason to sell and traditionally set their asking prices aggressively lower, the report said. However, the latest decline is substantial compared to the average fall of 1.1 percent measured in August over the last 10 years, the property website said.
In a report released last week, the Royal Institution of Chartered Surveyors' (RICS) also reported a decline in house prices in August.
The recent Halifax house price survey showed that house prices were down 0.4 percent month-on-month in August and 0.7 percent in July.

Published: 2012-09-17 04:38:00 UTC+00 18 hours, 50 min. ago

Turkish Unemployment Rate Edges Down

MT5-Unemployment rate in Turkey dropped marginally in June, the latest figures released by the Turkish Statistical Institute showed Monday.
The seasonally adjusted jobless rate fell to 8.9 percent in June from 9 percent in May. A year ago, the rate was at 10.2 percent. On an unadjusted basis, the jobless rate was 8 percent, down by 1.2 percentage points from last year.
The number of unemployed persons fell a seasonally adjusted 1 percent month-on-month to 2.4 million. At the same time, there was a 0.1 percent rise in the number of employed to 24.76 million.
The employment rate was steady at 45.3 percent. The labor force participation rate fell to 49.7 percent from 49.8 percent in the previous month.

Published: 2012-09-17 07:24:00 UTC+00 16 hours, 3 min. ago

Research: Outlook for Currency Markets

Smart Forex News
MT5-

Quotes from Standard Chartered:

After being caught between the two polarities of weak data and the policy response for the last few months, risk assets have finally broken out to the upside, supported by ECB and Federal Reserve policy expectations. This has particularly supported European currencies, while China-related currencies in G10 and EM have been mixed at best, causing substantial moves on the crosses.
Going forward, central bank reserve activity and data will be as important as - if not more important than - policy decisions per se in sustaining the rally in higher-beta currencies. Indeed, near-term, the USD looks set for a corrective rebound, before increasing data stabilisation provides a stronger and more sustained foundation for risk assets - funded out of the USD - in Q4.

Published: 2012-09-13 14:19:00 UTC+00 7 hours, 59 min. ago

-Today the Fed announcement- Fundamental Analysis, for September 13, 2012

MT5-This day was highly awaited by the markets, especially by New York stock market.
The Fed will announce its next steps at noon which will give stimulus to the U.S. economy, which in recent months demonstrated weakness of its key indicators such as employment growth.
In August employment figures were very low, with virtually zero inflation, and with the assurance that they will not move interest rates until 2014 and not until 2015, we expect that the Fed will announce a new bond purchase plan, called QE3. Will it be the solution? Probably not, but it will help to generate more movement in the economy.
Bernanke was very skeptical and pessimistic about the current situation as he saw that the $ 2.3 trillion that was used in two previous plans has not done much. For instance, the unemployment rate remains above 8%.
The fact that inflation does not grow despite mountains of money injected into the economy, demonstrates the magnitude of the crisis which started four years ago with the fall of Lehman Brothers. The U.S. economy had, however, entered recession in the fourth quarter of 2007.
Apart from the long-term consequences of present actions scheduled for today by the Fed, it calls attention to the prevailing climate of euphoria in the American stock exchanges. The Dow Jones is breaking records since December 2007 with a closing at 13,333 points Wednesday, although, it is just 9 points higher than Tuesday's close.
European currencies go down in these circumstances with a rare blend of optimism for the anticipated European Stability Mechanism, adopted on Tuesday in Germany, but they are also playing multi-month highs.
Naturally, with an announcement expected in the next few hours, the movements of the dollar pairs are measured and limited. But undoubtedly, the dollar will be shaken by the news of Bernanke and his people.
Is it so sure that the dollar will fall today? Actually, no. The leading currency is much oversold against the euro and the sterling, The Swiss franc and the yen only look slightly firmer against the Canadian dollar and the Australian dollar.
We have an impression that it will continue its downward path, but with a previous correction. Before QE3 starts, what would be the reason for this correction? Perhaps, Bernanke will announce something that will not completely satisfy the markets. The answer will be given at 12:30 ET.

If you need  personal consultation, contact me via e-mail: gerardo.porras@analytics.instaforex.com

If you like my Fundamental analysis, please vote for me, at the portal MT5.com please login and then vote for me. Thanks.

Gerardo Porras Palomino is taking part in the "Analyst of the Year" award organized by MT5.com portal. If you like his article, please vote for him.

Performed by Analytical expert: Gerardo Porras Palomino
InstaForex Companies Group © 2007-2012

 Published: 2012-09-13 13:55:45 UTC+00 8 hours, 18 min. ag

Daily Trading Forecasts (September 13, 2012)

MT5
EURUSD: The price is presently above the support level at 1.2900. The next resistance level is 1.2950, and if this is broken, the price would target 1.3000.

USDCHF: In this market, further bearish move was rejected at the accumulation territory situated at 0.9350. The price is trying to rally temporarily to the resistance level at 0.9400, but this could be what it is called - temporary.

GBPUSD:  The price on this market has already been caught in an equilibrium zone as the cable tests the support level at 1.6100. If the support level proves valid, the price would test the resistance level at 1.6150.

EURJPY: The resistance level at 100.50 has been futilely tested by the price, as the Williams’ % Range is heading down from the oversold region. The psychological support level at 100.00 would allow the bulls to enter long at that level.

USDJPY: This is a bear market: the price is now threatening to go below 77.50. If this bearish propensity continues, the next target would be a demand zone at 77.00.

Performed by Analytical expert: Azeez Mustapha
InstaForex Companies Group © 2007-2012

 Published: 2012-09-13 11:44:41 UTC+00 10 hours, 27 min. ago

AUD/USD Wave Analysis for September 12, 2012

MT5-AUD/USD Elliott Wave
Yesterday, the AUD/USD pair was trading upward move, developing final C wave (coloured blue) of the bigger wave (B) (coloured green). During the European session, we could observe a strong ascending movement towards the 1.0504 level and we can consider this move as the end of the (B) wave. Therefore, during the early New York session, the AUD/USD pair did not manage to hold this level and the price started pushing lower when the development of the final (C) wave started. At the moment, this pair was trading around 1.0450 level and we are expecting to see the price lower today. In accordance with our wave rules and taking into account that the wave 3 retraces 161.8% of the wave 1, we can define the potential targets with Fibonacci extensions (1.0504-1.0440-1.0487) with Take Profit at 1.0383 (161.8% of wave 1). Resistance Point at 1.0470 can be used as Stop Loss.
Support and Resistance
(S3) 1.0387 (S2) 1.0417 (S1) 1.0436 (PP) 1.0466 (R1) 1.0496 (R2) 1.0515 (R3) 1.0545
Trading Forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downward movement. That is why short positions at level 1.0440 with Stop Loss 1.0370 and Take Profit 1.0383 are recommended.
Nicola Delic is taking part in the "Analyst of the Year" award organized by MT5.com portal. If you like his article, please vote for him.

Performed by Analytical expert: Nicola Delic
InstaForex Companies Group © 2007-2012

 Published: 2012-09-13 11:42:50 UTC+00 10 hours, 27 min. ago

Silver Technical Levels and Trading Recommendatios for September 13, 2012

MT5-The H4 chart shows today that silver takes a downward move after its rebound from the Resistance level of 34.00 and presently it is testing the Support level of 32.90 . If silver continues its bearish view and manages to break this Support level, it will provide a good opportunity to sell below the Support level as well as will make it possible to reach the Support level of 32.40 as a level target. After that we should wait for breaking out of this Support level to continue the bearish move. In case silver is able to break the Support level of 32.40 and closes 4H below, we will get a bearish strength which will provide new sell signals and enable the Support level of 31.90 as a level target.
On the other hand, if silver reverses its bearish move and takes an upward direction after its rebound from the Support level 32.90 , this will be a strong indicator for the bullish move after closing 4H above the Support level enabling the Resistance level 34.00. In this case, we should wait for breaking this Resistance level to continue the bullish view. Based on the given H4 chart, the technical indicators provide sell signals, but as long as the Support level of 32.90 is unbroken, the upward move is still expected and invalidating the downward movement. Therefore, we should wait for more confirmations before making the decision.

Resistance and Support levels

R3(35.00)
R2(34.50)
R1(34.00)

S1(32.90)
S2(32.40)
S3(31.90)

Trading Recommendations

According to previous analysis, we recommend selling in case of closing 4H below the Support level 32.90 with TP 32.45; SL closing 4H above the Support level might be appropriate.

Performed by Analytical expert: Hossam Soliman Ali
InstaForex Companies Group © 2007-2012

 Published: 2012-09-13 11:41:32 UTC+00 10 hours, 26 min. ago

USD/CAD Wave Analysis for September 12, 2012

USD/CAD Elliott Wave
Since our last analysis the USD/CAD pair was trading in a upward move, developing impulsive (3) wave (coloured purple) of the bigger A wave (coloured blue). Yesterday, during the Asian and European sessions, we could observe an ascending movement from 0.9714 towards the 0.9744 level. Therefore, during the New York session, this major pair continued trading in a bullish mood and the price reached 0.9768 level (new daily high). At the moment, the USD/CAD pair is developing final (5) wave (coloured purple) and we are expecting to see the price around 0.9750 level today. In accordance with our wave rules and taking into account that the wave B retraces 61.8% of the wave A, we can define the potential targets with Fibonacci retracements (0.9713-0.9790) with Take Profit at 0.9745 (61.8% of wave A). Resistance Point at 0.9800 can be used as Stop Loss.
Support and Resistance
(S3) 0.9695 (S2) 0.9715 (S1) 0.9727 (PP) 0.9748 (R1) 0.9768 (R2) 0.9780 (R3) 0.9801
Trading Forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downward movement. That is why short positions at level 0.9790 with Stop Loss 0.9800 and Take Profit 0.9745 are recommended.

Nicola Delic is taking part in the "Analyst of the Year" award organized by MT5.com portal. If you like his article, please vote for him.

Performed by Analytical expert: Nicola Delic
InstaForex Companies Group © 2007-2012

 Published: 2012-09-13 11:41:12 UTC+00 10 hours, 23 min. ago

France August Inflation Rises More Than Forecast

Smart Forex News

MT5-French annual inflation rose more than expected in August, data from the statistical office Insee showed Wednesday.
EU harmonised annual inflation came in at 2.4 percent in August, up from 2.2 percent in July and slightly above the 2.3 percent rise forecast by economists.
On a monthly basis, the harmonized index of consumer prices climbed 0.7 percent, faster than the 0.6 percent expected increase.
Consumer price inflation accelerated to 2.1 percent from 1.9 percent in July. The largest upward pressures on annual inflation came from the increase of prices of energy.
Month-on-month, the index gained 0.7 percent, reversing July's 0.4 percent fall. Economists were looking for an annual rate of 2 percent and a monthly growth of 0.6 percent.

Published: 2012-09-12 05:51:00 UTC+00 7 hours, 38 min. ago

U.K. Visible Trade Gap Narrows On Robust Exports

Smart Forex News

MT5 - The U.K. visible trade deficit narrowed sharply in July driven by strong growth in exports, weathering the global economic slowdown.

The visible trade gap fell more-than-expected to GBP 7.1 billion in July, the smallest since February 2011, data from the Office for National Statistics revealed Tuesday. The deficit was forecast to drop to GBP 10 billion from GBP 10.1 billion in June.

The trade in goods with EU countries showed a shortfall of GBP 4.3 billion compared to a GBP 5 billion deficit in June. Likewise, the deficit with non-EU nations halved to GBP 2.9 billion from GBP 5.1 billion due to a record increase in exports to these nations.

Exports to EU nations rose 7.7 percent, with a notable increase in oil shipments, and imports grew 1.1 percent. At the same time, shipments to non-EU nations increased 11 percent, while imports fell 5.3 percent.

Meanwhile, the trade in services resulted in a surplus of GBP 5.6 billion compared to June's GBP 5.7 billion surplus.

The total trade balance, including both goods and services, showed a deficit of GBP 1.5 billion, down sharply from GBP 4.3 billion deficit in June. The oil deficit fell to GBP 0.6 billion in July from GBP 1.6 billion in June.

The sale of chemical and consumer goods improved in July, while imports of oil and precious stones declined markedly.

The ONS warned that month-on-month growth rates can be volatile.

The improvement in overall trade largely reflects a reversal of some one-off adverse factors in June, like the extra bank holiday, Jonathan Loynes at Capital Economics said. Moreover, a big drop in the volatile oil deficit that helped in July could rebound in future months, the economist added.

The sharply reduced trade deficit in July suggests that net trade could well make a rare recent positive contribution to GDP in the third quarter after being a major contributor to the contraction suffered in the first half of 2012, IHS Global Insight's Chief UK economist Howard Archer said.

Published: 2012-09-11 11:25:00 UTC+00 13 hours, 19 min. ago

Swiss Franc Hits 4-day High Against Euro

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MT5-Ahead of the European session on Tuesday, the Swiss franc climbed against its European counterpart. The franc approached 1.2068 against the euro, its highest level in 4 days and the next upside target level for the franc is seen at 1.205. The euro-franc pair ended Monday's deals at 1.2075.

Published: 2012-09-11 06:34:00 UTC+00 18 hours, 4 min. ago

U.s. House Leader Cantor: Lacks Support to Pass Russia Trade Bill

Smart Forex News

MT5-U.S. House of Representatives Majority Leader Cantor said that he does not see adequate support to pass legislation supporting trade relations with Russia.

Published: 2012-09-11 15:11:00 UTC+00 9 hours, 30 min. ago 

German Court Won't Delay Ruling On ESM: Reports

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MT5 - Germany's Federal Constitutional Court said Tuesday that it would not delay its most-awaited ruling on the European Stability Mechanism, or ESM, while rejecting a last-minute bid by a German lawmaker to postpone the judgment. 

Reports said the top court in Karlsruhe will pronounce its ruling on the bailout fund and the fiscal compact for budget discipline at 10 a.m. (0800 GMT) on Wednesday, as originally planned, after rejecting a petition for a temporary injunction by Peter Gauweiler, a member of Parliament. 

Gauweiler has said in a statement that the fund should not be ratified until the European Central Bank revokes its bond-buying plan.

Published: 2012-09-11 09:28:00 UTC+00 15 hours, 14 min. ago 

Forex Trading Strategies

There are 5 essentials in forex trading that you should master if you want to be a professional trader:

1. Forex Fundamental Analysis

Forex Fundamental Analysis is a type of market analysis that depend on "real" event and macroeconomic  which is related to trade currencies. Unlike Technical Analysis that rely on market data numbers - quotes, charts, simple and complex indicators, etc, Fundamental Analysis is chiefly concerned with establishing the causes of the current and future price moves. Studying economic information give you know how the big political and economical events influence currency market. Figures and statements that given in speeches by important politicians and economists on economical announcements may have great impact on currency market moves.

2. Forex Technical Analysis

Forex Technical Analysis only rely on market data numbers - quotes, charts, simple and complex indicator, etc. The main idea behind Forex technical analysis is historical price action predicts future price action. Technical analysis is believed that you can use only it to be a professional forex trader. Technical traders use many different indicators in combination with support and resistance to aid them in predicting the future direction of exchange rates. In practice, we encourage both analysis methods are used.

3. Money Management

Even if you master all of market analysis and will make very accurate predictions for future Forex market, you won't make any money without a proper money management strategy. Money management is the process of managing money which includes investment, budgeting, banking and taxes. In Forex, it is mean a set of rules about how much money you want for trading. Money management is very important role in getting profits in Forex.   

4. Forex Trading Psychology

When you already become professional forex trader, the most dangerous problem is your emotion. Practice your emotion to prolong your profit. Problems you'll have to deal :

• Greedy
• Want to Trade More and More (over trading)
• Lack of discipline
• Lack of confidence
• Blind following others' forecasts

5. Forex Broker Age

Professional trader need Forex broker as a tool for trader. Forex broker is a company which will provide real-time market information to trader and bring his orders to Forex market. While choosing a right Forex broker, here are the important things to look for:

• Being a professional company you can trust
• Provide you with real-time quotes
• Execute your orders fast and accurately
• Don't take a lot of commissions
• Support the withdraw/deposit methods that you can use

What is Forex

Forex or foreign exchange market is the market where one currency is trade for another currency. Forex is the one of largest market in the world.

Forex is about high and low money exchange system. For example you need to change money if you go to foreign countries. Exchange rate always change everyday. Sometime your money can get higher than other countries money. But sometimes your money can lower than the other.

Because of this system, you can earn money from buy currency when they get lower and sell other currencies when they get higher. Exchange rate always change, because of economic waves and political changes. For example, if oil prices goes higher, all money currency will goes lower on most country, except the country that have oil sources.

There are some currency pairs that's favorite for all forex trader:

• EURO against US dollar (EUR/USD)
• US dollar against Japanese Yen (USD/JPY)
• Poundsterling against US dollar (GBP/USD)
• Us dollar against Swiss franc (USD/CHF)

Euro still has a long way to go in resolving it's debt crisis

Smart Forex News

MT5 - International Monetary Fund Deputy Managing Director Zhu Min reported that Europe still has a long way to go in resolving its debt crisis. He said that "We are still in the middle" and "there is a long way to go. He urged Europe still have faith in the single currency.

Quoting the official at the World Economic Forum in chinese port city of Tianjin, He said the economy is currently experiencing "soft landing". It's mean that stabilizing chinese growth is of top priority and the IMF supports further policy easing in China.

Zhu said that the European Central Bank decision is very important. We strongly support it. It is very important to ease liquidity tension in the market. You must know that last week ECB unveiled a plan under which it would buy sovereign debt with a term of up to three years, thereby ensuring a government's access to funding, in return for a bailout deal with tight strings attached.

Published: 2012-09-11 07:35:00 UTC+00 17 hours, 8 min. ago