Daily market review for 04.11.2014

EUR/USD started the week with trading near its two-year lows and has begun to gradually stabilize after that. The asset has succeeded to strengthen higher than 1.25, which is a positive signal for buyers of the asset. GBP/USD, just like EUR/USD, stabilizes actively and currently trades near 1.60, but is not able to reach that yet. Many investors are likely to expect a further decline, therefore selling is considered at these levels. USD/JPY remains to trade positively and consolidates after its active rise. Gold remains under strong selling pressure and trades near its four-year lows.

Market news

Important statistics for the UK and the USA are expected today. As to the Eurozone, only secondary statistics are expected and will not influence the market. As to the UK, we recommend to pay attention to the Construction Purchasing Managers’ Index, the data is expected to be worse than the previous one and can negatively impact the British pound. As regards to the USA, we recommend to pay attention to the Trade Balance, the results are expected to be positive and can influence the market.

Our recommendations

EUR/USD trades positively. Moving averages stay up, which show a further increase. The important level that prevents the rise is located at 1.2529. The important levels that prevent the fall are located at 1.2469 and 1.2440. 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 up, which show a further increase. The important level that prevents the rise is located at 1.6017. The important levels that prevent the fall are located at 1.5964 and 1.5926. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

AUD/USD trades positively. Moving averages stay up, which show a further increase. The important level that prevents the rise is located at 0.8734. The important levels that prevent the fall are located at 0.8714 and 0.8647. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

USD/JPY trades positively. Moving averages stay down, which show a further decrease. The important level that prevents the rise is located at 114.05. The important levels that prevent the fall are located at 113.28 and 112.57. 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 decrease. The important levels that prevent the rise are located at 1169 and 1174. The important level that prevents the fall is located at 1164. 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.