Analytic reviews

Gold futures fell during the Asian session to witness their rebound from above for them since March 22, 2013 for the seventh session in eleven sessions amid positive stability of the US dollar index according to the inverse relationship between them on the cusp of developments and economic data expected today Wednesday by the largest US economy World economy in the shadows of the World Economic Forum Davos in Switzerland.

At exactly 04:16 AM GMT, gold price futures for February delivery fell 0.49% to trade at $ 1,551.30 per ounce compared to the opening at $ 1,558.90 per ounce, knowing that the contracts started the trading session on an upward price gap after yesterday's trading was concluded At $ 1,557.90 an ounce, with the US dollar index rising 0.04% to 97.66 compared to the opening at 97.62.

Investors are currently looking for the US economy to disclose housing market data with the release of the house price index, which may show an acceleration of growth to 0.3% compared to 0.2% last October, before we witness the release of the existing home sales index, which may indicate an increase 1.5% to 5.43 million homes, compared to a decline of 1.7% at 5.35 million homes last November.

It is noteworthy that US President Donald Trump praised yesterday during the events of the World Economic Forum Davos what his administration reached from trade deals and economic achievements for his country, noting the trade agreements concluded with China, Mexico and Canada, with his statement that the second stage of the trade agreement between Washington and Beijing will begin Soon, tariffs existed during the second-stage talks, adding that there was a good relationship with his Chinese counterpart.

In the same context, US President Trump warned that his administration will impose 25% customs duties on European cars in the absence of a fair trade agreement between Washington and Brussels, with a threat to impose 100% customs duties on French wine, and told him that France will stop imposing duties On the Internet companies at the moment and that he had no intention of meeting with the Ukrainian Prime Minister on the forum.

The remarks of the Republican President came during the Davos activities, which included his criticism of the Federal Reserve for being weakly reducing interest, in conjunction with the Republican majority of the Republican majority began the forty-fifth session of the US President's trial that aims to remove him from office following the accusations leveled against him by the House of Representatives Democratic majority, against the backdrop of his leaked phone call to the Ukrainian Prime Minister.

In another context, we also followed yesterday, US Treasury Secretary Stephen Minnouchen expressed during the Davos events, that the second stage of the trade agreement between his country and China will not include the abolition of customs tariffs in full, and that the first part of the second stage may include the postponement of some tariffs, with a warning to each From Italy and Britain who will face US tariffs if they continue to impose a digital tax on companies such as Google and Facebook.

Otherwise, yesterday we followed the report that touched on North Korea's threat to the United States not to disarm its nuclear weapons in the event of continued US sanctions imposed on them, and we also followed yesterday a member of the Iranian Parliament expressed that his country would be protected from any threats if it possessed nuclear weapons, stating that Tehran must bear in mind the production of long-range missiles capable of carrying nuclear warheads, adding that this guaranteed the right to self-defense.

Technical analysis

The gold price made attempts to break the 1554.10 level yesterday, but closed the daily candle above it, to allow opportunities to resume the bullish trend, noting that the price starts the day with a new negativity to move below the mentioned level.

Therefore, we prefer stopping on a neutral period temporarily until the price confirms its position in relation to the mentioned level, noting that cohesion above it will lead the price to rise again and head towards our positive targets that start at 1575.90, while stability below it represents a negative factor that will pressure the price to return to the path Corrective bearish correction again, heading towards 1536.50 levels and it may extend to 1518.85 before any new attempt to rise.

The expected trading range for today is between 1540.00 support and 1565.00 resistance.

Expected trend for today: neutral.

The single currency fluctuated the euro in a narrow range slanting upward during the Asian session to witness its rebound from the lowest since December 24 last against the US dollar amid the scarcity of economic data by the economies of the euro area and on the cusp of developments and economic data expected today Wednesday by the American economy The world's largest economy and the shadow of the World Economic Forum Davos in Switzerland.

At 05:27 am GMT, the euro pair rose against the US dollar by 0.02% to 1.1084 levels compared to the opening levels at 1.1082, after the pair achieved its highest level during the trading session at 1.1087, while achieving the lowest in a month at 1.1077.

Investors are currently looking for the US economy to disclose housing market data with the release of the house price index, which may show an acceleration of growth to 0.3% compared to 0.2% last October, before we witness the release of the existing home sales index, which may indicate an increase 1.5% to 5.43 million homes, compared to a decline of 1.7% at 5.35 million homes last November.

It is noteworthy that US President Donald Trump praised yesterday during the events of the World Economic Forum in Davos, the administration’s commercial deals and economic achievements for his country, noting the trade agreements concluded with China, Mexico and Canada, with his statement that the second stage of the trade agreement between Washington and Beijing will begin Soon, tariffs existed during the second-stage talks, adding that there was a good relationship with his Chinese counterpart.

In the same context, US President Trump warned that his administration will impose 25% customs duties on European cars in the event that a fair trade agreement has not been reached between Washington and Brussels, while threatening to impose 100% customs duties on French wine, and told him that France will stop imposing duties On the Internet companies at the moment and that he had no intention of meeting with the Ukrainian Prime Minister on the forum.

The remarks of the Republican President came during the Davos activities, which included his criticism of the Federal Reserve for being weakly reducing interest, in conjunction with the Republican majority of the Republican majority began the forty-fifth session of the US President's trial that aims to remove him from office following the accusations leveled against him by the House of Representatives Democratic majority, against the backdrop of his leaked phone call to the Ukrainian Prime Minister.

In another context, we also followed yesterday, US Treasury Secretary Stephen Minnows expressed during the Davos events, that the second stage of the trade agreement between his country and China will not include the abolition of customs tariffs in full, and that the first part of the second stage may include the postponement of some tariffs, with a warning to each From Italy and Britain who will face US tariffs if they continue to impose a digital tax on companies such as Google and Facebook.

The warnings of the US Treasury Secretary Minution to both Italy and Britain came after France retreated from imposing a tax and Paris and Washington pledged to avoid the outbreak of a trade war between them until the end of this year at least, while he noted that the growth prospects for his country for this year are very low, with his statement that recent trade deals It will support the pace of growth, adding that US trade challenges will not affect the pace of global economic growth.

Technical analysis

The euro against the dollar presented positive trades yesterday, but it collided with a strong resistance barrier formed by the EMA50, to bounce back and test the support of the bullish channel again, accompanied by the entry of the stochastic index to the oversold areas in the sale, waiting for the price stimulus to resume the bullish bias during the upcoming sessions to head towards 1.1180 That represents our first positive goal.

Consequently, we will maintain our bullish expectations for today, provided stability above 1.1065, as breaking it will press the price to achieve an additional drop targeting the 1.0985 level as a next negative station.

The expected trading range for today is between 1.1040 support and 1.1180 resistance.

Expected trend for today: bullish.

The Australian dollar versus the US dollar shows more bearish tendency to reach the upside channel support, accompanied by the appearance of oversold signs through the stochastic, waiting for the price to be stimulated to resume positive trades within the mentioned channel and then head towards 0.7015 which represents the main positive target.

Consequently, the bullish scenario will remain intact unless 0.6805 level is broken and stability remains with a daily closing below it.

The expected trading range for today is between 0.6805 support and 0.6890 resistance.

Expected trend for today: bullish.

The Aeroflot share continues to rise and exceeded the resistance levels 107.36-112.83 to confirm the bullish path, ending the sideways movement after it had fluctuated around the level of 103.99 for more than two weeks.

Price action above the 7-20-50 moving averages that have become strong support levels for the price.

The stochastic is providing signals for the continuation of the bullish move as it moves within the overbought zone.

The general trend of the movement: upward path.

The resistance level of 343.0 actively holds back buyers. Stochastic Oscillator has been signaling overboughtness for a long time, and Awesome Oscillator has formed a bearish divergence.

Trading recommendations:

Sell below the price pivot zone of 322.40.

Stop loss for the price pivot zone of 343.00.

Target levels: 321.00; 306.00.

The pair is trading below 1.3090 in anticipation of the final monetary policy decision of the Bank of Canada. If the bank doesn’t change interest rates and indicates that it won’t happen in the near future, while Candadian inflation data shows a local increase, the pair will become weaker.

The price is above the middle Bollinger band, above SMA 5 and SMA 14. The RSI is located below the oversold zone and moves horizontally. Stoch are increasing.

Trading recommendations:

Expect a local decline of the pair to 1.3030 following the Central Bank of Canada meeting.

The round secondary level of 1.1080 holds back sellers. A descending truncated pattern of the H8 level was formed, in which the wave (C) has subwaves of the H4 level, where the wave (C) is also truncated (the formation of a reversal pattern). Also, Awesome Oscillator shows a bullish divergence, and Stochastic Oscillator indicates oversoldness.

Trading recommendations:

Buy while an ascending pattern is forming, where the wave (A) breaks through the inclined channel of the descending truncated pattern of the H4 level, completing it.

Stop loss under the round secondary level - (1.1077).

Target levels: 1.1120 (round secondary level); 1.1150 (round intermediate level); 1.1220.

The Australian dollar fluctuated in a narrow range tilted towards the decline during the Asian session to witness its bounce to the twelfth session in fifteen sessions from its highest since July 23 against the US dollar amid the scarcity of economic data at the beginning of this week by the Australian economy and its American economy the largest Economy in the world and the center of attention of investors to the launch of the events of the World Economic Forum in Davos in Switzerland.

At 05:23 am GMT, the Australian dollar pair declined against the US dollar by 0.16% to 0.6862 levels compared to the opening levels at 0.6873, after the pair achieved its lowest level during the trading session at 0.6857, while achieving the highest at 0.6881.

This was followed by last weekend's economic data that showed the largest Australian trading partner and Asia's largest economy and the second largest economy in the world 6.1% during 2019, despite the trade dispute between Beijing and Washington, which recently witnessed its breakthrough with the signing of US President Donald Trump and Vice President China's State Council Liu is last Wednesday on the first stage of the trade deal in Washington.

In the same context, US President Trump praised last Sunday the partial agreement with China, expressing that the agreement will contribute to reducing customs incentives and open the door for American products such as meat and poultry, in addition to soybeans, rice and other products to enter China, adding that Beijing will do what it can. To emphasize the preference of this agreement, while touching on the fact that Washington has distinguished relations with Beijing at the present time.

U.S. President Trump also stated that the relations between his country and China are better than ever, and that Beijing respects Washington at the present time, and it is reported that Trump noted during the signing of the trade agreement with China that his administration will leave the customs duties imposed on Chinese goods even after the signing of the first stage of the agreement and that Customs duties on Chinese goods will be abolished completely after the second stage of the agreement is signed.

Technical analysis

The Australian dollar versus the US dollar continues to fluctuate around the EMA50 and presses it negatively, on its way to a possible test to support the bullish channel that appears in the picture.

In general, the bullish trend is still likely to remain stable above 0.6800, as breaking this level will press the price to resume the main downside that initially targets 0.6670, while the expected positive target for the suggested bullish wave is at 0.7015.

The expected trading range for today is between 0.6835 support and 0.6910 resistance.

Expected trend for today: bullish.

The single currency fluctuated the euro in a narrow range tilted to the upside during the Asian session to witness its rebound for the second consecutive session from its lowest since December 24 against the US dollar on the cusp of developments and economic data expected today by the economies of the euro area amid the scarcity of economic data in Early this week on the US economy and with the aspiration of the launch of the World Economic Forum Davos in Switzerland.

At 05:24 am GMT, the euro pair rose against the US dollar by 0.02% to 1.1097 levels compared to the opening levels at 1.1095, after the pair achieved its highest level during the trading session at 1.1099, while achieving the lowest at 1.1089.

The markets are looking to reveal a statistical reading of the ZEW economic sentiment index for Germany, the largest economies of the eurozone and the eurozone economies as a whole, which may reflect a expansion in Germany and the region as a whole by 15.2 and 10.7 compared to 10.7 and 11.2 respectively in December, This comes in conjunction with the activities of the finance ministers of the euro area Ecovin in Brussels.

Other than that, we followed up earlier this week the approval of French President Emmanuel Macron and his US counterpart Donald Trump not to impose customs duties in their digital tax dispute until at least the end of the year 2020. In another context, European Trade Commissioner Phil Hogan also stated yesterday that the Union The European is still looking into the details of the first phase of the trade agreement between the United States and China.

Technical analysis

The euro against the dollar pair reached the outskirts of the awaited target when supporting the ascending channel, and begins to rebound upwards in a sign of the price trend to try to resume the main bullish trend, supported by the positivity of the stochastic indicator.

Therefore, the bullish bias will be likely for today, and the first goal is to test the 1.1180 level, taking into consideration that the break of 1.1065 will stop the expected rise and put pressure on the price to achieve a further decline in the intraday and short term.

The expected trading range for today is between 1.1040 support and 1.1180 resistance.

Expected trend for today: bullish.

Gold futures rose during the Asian session to witness the highest since January 8, when I tested the highest for them since March 22, 2013 amid the US dollar index rebound for the second consecutive session from the highest since December 24, according to The inverse relationship between them amid the scarcity of economic data earlier this week by the US economy and with growing concern in Asia of a new strain of pneumonia in China, which led to a wave of risk aversion in the markets.

At exactly 04:34 AM GMT, gold price futures for February delivery rose 0.65% to trade at $ 1,567.40 per ounce compared to the opening at $ 1,557.30 per ounce, knowing that the contracts started the session’s trading on a falling price gap after yesterday's trading was concluded At $ 1,560.30 an ounce, with the US dollar index down 0.05% to 97.58 compared to the opening at 97.63.

We have followed the monetary policy makers ’decision with the Japanese Central Bank to keep negative interest rates at 0.10%, which came in line with expectations, with the disclosure of the Bank of Japan’s monetary policy statement, which reflected the Japanese central bank’s provision of more flexibility in monetary policy and raised its expectations for growth For the first time in a year, attention is now drawn to the events of the press conference that Bank of Japan Governor Haruhiko Kuroda will hold in Tokyo.

Other than that, yesterday we followed Moody's lowering its credit rating for Hong Kong to “AA3” from “AA2”, and yesterday we followed the International Monetary Fund cut its forecast for the pace of global economic growth for the current year 2020 and next 2021 in addition to the past 2019 from its previous expectations in October Last October, while noting that the uncertainty was declining with lower downside risks, it was emphasized that these risks still exist.

In the same context, the Director of the International Monetary Fund, Kristina Georgieva, warned of the possibility of the global economy experiencing an extended depression due to inequality and strikes in the financial sector, with her reporting that, according to a study conducted by the Fund, the current economic conditions are similar to the economic conditions in the twenties of the last century and those are The period when financial markets collapsed in 1929.

The Director of the International Monetary Fund, Georgieva, noted that despite the decrease in the gap of inequality between countries during the past two decades, inequality within countries has expanded rapidly recently, adding that there is a possibility of social unrest and fluctuations in the markets during this decade amid the emergence of new issues On the economic stage such as climate change and trade war.

International Monetary Fund Director Georgieva also expressed the fact that "the truce is not like peace," explaining that the signing by US President Donald Trump and Chinese Vice-Premier Liu is last Wednesday of the first stage of the trade deal in Washington, which reflected its breakthrough in trade relations between Washington and Beijing. Opportunities to exacerbate the trade war between the world's two largest economies "diminish, not eliminate" the negative impact.

Otherwise, the spread of a pneumonia-like virus in China led to a sudden bout of risk aversion in financial markets and prompted investors to transfer liquidity to safe havens, especially gold, especially after a Chinese health expert stated that the virus could be transmitted from person to person, after confirming the death of Four cases of the disease, which caused widespread concern that it is spreading on the eve of the Lunar New Year holiday in China.

Technical analysis

The price of gold made positive trades yesterday evening to settle around 1565.00, reinforcing expectations of the continuation of the bullish trend during the upcoming sessions, on its way to test the 1575.90 level which represents our first goal, noting that exceeding this level will push the price to 1611.20 as the next main station.

Therefore, the positive scenario will remain valid for the upcoming period unless the 1554.10 level is broken and stability below it.

The expected trading range for today is between 1555.00 support and 1585.00 resistance.

Expected trend for today: bullish.