Daily market review on the 04.09.2014

Daily market review

The American dollar has started to consolidate on all fronts after its active rise. The US Dollar Index has fallen lower than 83, which is a positive signal for bears (sellers of the asset). EUR/USD tends to consolidate and attempts to rise. Since a referendum on Scottish Independence is supposed to be held, GBP/USD can remain under the strong selling pressure. Many investors consider, that Scotland will become independent, so even some positive news do not impact significantly the British currency. USD/JPY tends to decrease in value. Gold has stopped to fall and tends to stabilize.

Market news

Many important news for Europe, the UK and the USA are expected today. As to Europe, we recommend to pay attention to the Interest Rate Announcement, the rate is expected to remain on the same level. Later this day, the ECB press conference will be held, some significant fluctuations are expected during the event. We recommend to pay attention to the statistics for the Quantitative Easing of the Bank of England and to the Interest rate Announcement. As regards to the USA, the report on Business Activity Index in services sector will be published, the data is expected to be worse, than the previous one and can negatively impact the American dollar.

Our recommendations

EUR/USD EUR/USD trades in a narrow range. Moving averages stay horizontally but there might be a further increase. The important levels that prevent the rise are located at 1.3148 and 1.3158. The important level that prevents the fall is located at 1.3131. We recommend to sell Put Options from the resistance levels and to buy Call Options from the support levels.

 

 

GBP/USD GBP/USD continues to fall. Moving averages stay horizontally but there might be a further decrease. The important levels that prevent the rise are located at 1.6464 and 1.6496. The important level that prevents the fall is located at 1.6439. We recommend to sell Put Options from the resistance levels and to buy Call Options from the support levels.

 

 

AUD/USD The Australian dollar tends to increase in value. Moving averages stay horizontally but there might be a further increase. The important level that prevents the rise is located at 0.9363. The important levels that prevent the fall are located at 0.9337 and 0.9300. We recommend to sell Put Options from the resistance levels and to buy Call Options from the support levels.

 

 

USD/JPY The pair consolidates after its active rise. Moving averages stay horizontally but there might be a further increase. The important levels that prevent the rise are located at 104.93 and 105.11. The important level that prevents the fall is located at 104.73. We recommend to sell Put Options from the resistance levels and to buy Call Options from the support levels.

 

 

GOLD Gold tends to gradually stabilize. Moving averages stay horizontally but there might be a further increase. The important level that prevents the rise is located at 1273. The important levels that prevent the fall are located at 1268 and 1265. We recommend to sell Put Options from the resistance levels and to buy Call Options from the support levels.

 

 

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