Daily Market Review 16 of November

The financial markets have been divided. The sales of risky assets continue on securities’ markets while in other segments reserved purchases have started. EURUSD yesterday managed to grow away from weekly minimums. Some analysts tend to regard the trend of the EURUSD as sign of Euro stability and assume that the correction might bring the rate back to 1.3. That would be a typical move within the range of technical corridors; there are only few fundamental changes on the market. As for the Yen there a lot is determined by the background of news. Shinzo Abe, the opposition leader has started a real intervention which becomes more and more aggressive from day to day. He believes that the necessary inflation level of 2-3% should be determined and the currency should be weakened.  USDJPY grew by 2% against the background of such claims. In the long term Yen is going to appreciate though in the short term some appreciation is possible. The fair price of the Yen as analysts assume is around 78.



The pair has developed another growth structure.  We expect the pair to test the goal of 1.2730. The structure of correction will show whether the market will develop further growth or it will be the end of appreciation and the downward trend will start.


Gold continued its decline. Perhaps the level of 1700 will be broken. Then there will be technical correction for the test of the level of 1715 from above and the continuation of downward trend to test the next goal of 1690.