Daily market review for 17.10.2014

Yesterday showed some significant fluctuations on the market. During the European trading hours the euro fell and traded near 1.27, but in the end of that day it had fully recovered the losses. The situation is complicated since there are some perspectives for a further rise, but the overall trend is down. GBP/USD continues to consolidate, but a strong rise cannot be expected at the moment. USD/JPY tends to gradually stabilize and there are some new perspectives for a further increase in value. Gold continues to trade positively, a further rise is considered up to 1250.

Market news

Important statistics for the USA and Canada are expected today. There is no important news for the Eurozone and the UK. As to the USA, we recommend to pay attention to the Building Permits report, the results are expected to be better than the previous ones and can positively impact the American dollar. In the same time the Fed Chair Yellen will perform a speech. As regards to Canada, we recommend to pay attention to the Core Consumer Price Index, the forecast is negative and can affect the Canadian dollar.

Our recommendations

EUR/USD trades positively. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 1.2838. The important levels that prevent the fall are located at 1.2787 and 1.2731. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GBP/USD trades positively. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 1.6108. The important levels that prevent the fall are located at 1.6067 and 1.5940. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

AUD/USD trades in a narrow range. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 0.8786. The important levels that prevent the fall are located at 0.8732 and 0.8684. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

USD/JPY tends to stabilize. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 106.48. The important levels that prevent the fall are located at 106.12 and 105.61. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GOLD trades in a narrow range. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 1244. The important levels that prevent the fall are located at 1237 and 1235. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

The information and recommendations contained in this analytical document are published strictly for information purposes and are not considered as an offer to buy or sell the trading tools mentioned above and are not intended to motivate to perform certain transactions.