Analytic reviews

The single currency fluctuated the euro in a narrow range slanting back down during the Asian session to witness its rebound to the fourth session in seven sessions from its highest since August 13 against the US dollar on the cusp of developments and economic data expected today Monday by the largest economies of the euro area Germany and the American economy The largest economy in the world.

At 05:29 am GMT, the euro against the US dollar fell 0.01% to 1.1080 levels, compared to the opening levels at 1.1081, after the pair achieved its lowest level during the trading session at 1.1073, while achieving the highest at 1.1086, knowing The pair started the trading session on an upward price gap after it concluded the trading last week at 1.1079 levels.

The markets are looking to discover by Germany the reading of the import price index, which may reflect an increase of 0.4% against a decline of 0.1% last October, while the annual reading of the same indicator may show a decrease in the decline to 2.3% compared to 3.5% in the previous annual reading for the month of October This comes as October looks to reveal the German central bank's monthly report.

Otherwise, at the end of last week, we followed the statements of the President of the European Council, Charles Michael, in which he expressed a comment on the British Parliament’s vote in favor of the Brexit agreement on the date set in advance of the end of January next, that the European Union stresses the importance of ensuring There is room for negotiation in any agreement regarding future relations with Britain after its exit from the union.

It is noteworthy that German Economy Minister Peter Altmayr also noted on Friday that the clarity about Britain's exit file from the European Union helped his country to avoid the risk of recession, while he touched on the expectation that he expected a decline in trade tensions between the United States and the European Union, which had increased recently following the imposition of the administration of US President Donald Trump The European Commission has tariffs on each other's goods and Trump's threat to impose tariffs on European cars.

On the other hand, investors are currently awaiting by the US economy the disclosure of the Durable Goods Orders Index, which represents about half of consumer spending, which represents more than two-thirds of GDP in the United States, and that may reflect a slowdown in the pace of growth to 0.2% compared to 0.5% in October. October, while a substantial reading of the same indicator may show that the pace of growth accelerated to 1.5%, compared to 0.5% in October.

This comes before the release of the US housing market data with the release of the New Home Sales Index, which may indicate a 1.0% decline to 730 thousand compared to a 0.7% increase at 733 thousand in the previous reading of October. Otherwise, the markets are looking to reveal the US Treasury Its semi-annual report on economic policies and the international exchange rate.

Technical analysis

The euro against the dollar trades settled below the level of 1.1108, to face the potential negative momentary pressure, but we notice that the price is still within the bullish channel that appears in the image, which keeps the overall bullish scenario present for the coming period, and the stochastic indicator provides a positive crossover now we expect that You contribute to pushing the price up again.

Therefore, the bullish bias will be likely on the intraday and short term unless the 1.1030 level is broken and stability below it, noting that a break of 1.1108 is required to facilitate the task of achieving the first positive target at 1.1180.

The expected trading range for today is between 1.1020 support and 1.1180 resistance.

Expected trend for today: bullish.

The Australian dollar fluctuated in a narrow range tilted to the upside during the Asian session to witness its highest since December 13, when it tested the highest since July 26 against the US dollar after the developments and economic data that it had reported on the Australian economy in the first sessions of this week On the cusp of developments and economic data expected on Monday by the US economy.

At exactly 02:26 AM GMT, the Australian dollar pair rose against the US dollar by 0.12% to 0.6908 levels compared to the opening levels at 0.6896, after the pair achieved its highest level in two weeks at 0.6911, while it achieved its lowest during the trading session at 0.6892, Knowing that the pair started the trading session on a falling price gap after it concluded the trading last week at 0.6900 levels.

We have followed on from the Australian economy the release of the private sector credit index reading, which showed the stability of the pace of growth at 0.1%, little changed from what it was last October, contrary to expectations that indicated the acceleration of growth to 0.2%, while the annual reading of the same indicator showed The pace of growth slowed to 2.3% versus 2.5% in the prior annual reading for October, below expectations for 2.4%.

On the other hand, investors are currently awaiting by the US economy the disclosure of the Durable Goods Orders Index, which represents about half of consumer spending, which represents more than two-thirds of GDP in the United States, and that may reflect a slowdown in the pace of growth to 0.2% compared to 0.5% in October. October, while a substantial reading of the same indicator may show that the pace of growth accelerated to 1.5% compared to 0.5% in October.

Markets are also awaiting by the largest economy in the world, the disclosure of US housing market data with the release of the New Home Sales Index, which may indicate a decline in the decline to 0.4% or about 730 thousand homes, compared to a decline of 0.7% at about 733 thousand homes in the previous reading of October October comes amid an aspiration for the US Treasury to reveal its semi-annual report on economic policies and the international exchange rate.

Technical analysis

The Australian dollar versus the US dollar continues to rise quietly, steadily inside the bullish channel that appears in the image, and we note that the stochastic crosses positively now, to support the chances of achieving more gains during the upcoming sessions, and the path is open to achieving our main goal awaited at 0.7015, noting the importance Stability above 0.6670 to continue the suggested bullish wave.

The expected trading range for today is between 0.6860 support and 0.6970 resistance.

Expected trend for today: bullish.

The level 103.15 has been retested in the range of the lower border of the upward price channel. Stochastic Oscillator signals oversoldness. Breaking through the price pivot zone 103.90 will result in the formation of an upward pattern 123.

Trading recommendations:

Buy Above 103.90.

Stop Loss – 103.15.

Target levels-106.00; 107.85.

When the profit is equal to the size of the stop loss - transfer the stop to breakeven.

The support level holds back sellers in the range of the round important level 1.2700. The overall trend is upward, and the Stochastic Oscillator indicates oversoldness. Breaking through the resistance level of 1.2831 will result in the formation of an ascending structure of the H1 level, as part of the overall upward trend.

Trading reccomendations:

Buy Above 1.2831.

Stop Loss under the support level of 1.2700.

Target levels - 1.3000; 1.3195.

Gold gains support amid low spot volumes and the expected expiration of gold contracts on the futures market on December 25th. The prices are expected to reverse downwards after the expiration.

The price is above the upper border of Bollinger band, above SMA 5 and SMA 14. RSI is above the 50% and is growing. Stoch are entering the overbought zone.

Trading recommendations:

If gold prices fix above 1480.85, they may experience a local growth to 1493.65.

The stock is trading more than three times below its maximums. Price pivot zone 31.30 holds back sellers. The stock is also trading in the range of the upward price channel's lower border. If the price fixes above the resistance level of 32.30 it may continue further up at least to the resistance level of 33.40.

Trading recommendations:

Buy above the resistance level of 32.30.

Stop Loss under the support level of 31.30.

Target levels - 33.40 (don’t underestimate this level); 35.17; 42.22

Price pivot zone 1.3007 holds back sellers. The overall trend is upward, and Stochastic Oscillator indicates oversoldness.

Trading recommendations:

Buy strictly while an ascending pattern is forming, where wave (A) breaks through the inclined channel of the descending pattern (presumably acorrection).

Stop Loss at a local minimum.

Target levels - 1.3220; 1.3507 (1.3500).

When buying an option against the trend, confirmation of other technical analysis tools is mandatory - the presence of divergence, candlestick reversal patterns. Buying against the trend strictly at the retest level! Buying an option before publishing important economic news is considered risky. The expiration time depends on the strength of the level and confirmation by additional tools of technical and fundamental analysis.

The pair is trading above 1.1110 in anticipation of GDP data publication along with with other US economic indicators.. If they turn out to be no worse than predicted, this may result in a local decline of the pair.

The price is below the middle Bollinger band, below SMA 5 and SMA 14. RSI is below the level of 50% and is gradually declining. Stoch are not informative.

Trading recommendations:

Sell a pair with a probable local target of 1.1050 after its decline below the level of 1.1110.

The US dollar fluctuated in a narrow range tilted to the upside during the Asian session to witness the highest since December 13, when it tested the highest for it since the second of this month and the highest since early August last against the Japanese yen, after revealing the decisions and directions of the makers Monetary policy at the Bank of Japan is on the cusp of a press conference that will be held by Bank of Japan Governor Haruhiko Kuroda in Tokyo, in addition to developments and economic data expected today Thursday by the US economy.

At exactly 05:56 AM GMT, the US dollar pair rose against the Japanese yen by 0.03% to 109.58 levels compared to the opening levels at 109.55 after the pair achieved its highest in a week at 109.68, while it achieved its lowest during the trading session at 109.53.

We have followed the monetary policy makers ’decision with the Japanese Central Bank to keep negative interest rates at 0.10%, which was expected in the markets, with the disclosure of the Bank of Japan’s monetary policy statement that reflected the Japanese central bank’s provision of more flexibility in monetary policy while providing facilities Funding for ETFs with the aim of improving liquidity in the ETF market.

The Bank of Japan also mentioned through the statement of monetary policy that "the economy was in a moderate expansion direction" and that the Japanese central bank "will take additional mitigation measures if there is a greater possibility of losing momentum towards achieving the goal of price stability", and this came after the Japanese government implemented in October Last October, the consumption tax increased to 10% from 8%, which could weigh on consumer spending in the third largest economy in the world.

We would like to point out, because the Japanese government raised its growth forecast yesterday for the next fiscal year 2020/2021, which begins with the beginning of next April, to 1.4% compared to its previous forecast last July, with a growth of 1.2%, while maintaining its expectations for growth during the current fiscal year, which expires With the end of next March at 0.9%, and this comes in the wake of the Japanese government recently approved a financial package worth $ 122 billion.

The expectations of the Japanese government that followed the progress in the trade talks between the United States and China that resulted in a first-stage agreement between them and the decisive victory of British Prime Minister Boris Johnson in the British parliamentary elections, which limited Britain's chances of leaving the European Union without an agreement, included that, private consumption will grow. 0.6% in FY 2019 compared to previous expectations of 0.9% due to declining consumer confidence.

On the other hand, investors are currently awaiting the release of the current account reading from the US economy, which may reflect a narrowing of the deficit to $ 122 billion compared to $ 128 billion during the second quarter, in conjunction with the disclosure of the Philadelphia industrial index reading by the largest industrialized country globally, which may Reflects the shrinkage in breadth to 8.1 in value from 10.4 last November.

This also comes in conjunction with the issuance of the aid claims index for the week that passed on December 14th of this year, which may reflect a decline by 27 thousand requests to 225 thousand requests compared to 252 thousand requests in the previous weekly reading, while the reading of the subsidy applications index may explain to investors For the week that ended on the seventh of this month, an increase of 4 thousand requests to 1,671 thousand applications compared to 1,667 thousand requests.

Up to the disclosure of the US housing market data with the release of the Existing Home Sales Index, which may show a decline of 2.1% to 5.44 million homes compared to a 2.2% rise at 5.46 million homes in October, and this comes in conjunction with the release of the leading indicators reading that may clarify An increase of 0.1% compared to a decline of 0.1% in the previous reading for the month of October.

Technical analysis

The dollar against the yen did not show any strong movement yesterday, to remain stable near 109.33 level, maintaining its stability above it, and therefore, there is no change to the upside scenario that depends on stability above the mentioned level, supported by the moving average 50, noting that our next main target It is located at 110.50.

The expected trading range for today is between 109.00 support and 110.40 resistance.

Expected trend for today: bullish.