Analytic reviews

The New Zealand dollar fluctuated in a narrow range inclined during the Asian session as it resumed its weekly gains against the US dollar following developments and economic data that followed on the New Zealand economy and on the eve of developments and economic data expected Friday by the US economy, the largest economy in the world, Federal Reserve Bank of New York Chairman John Williams in New York.

At 3:47 am GMT, the New Zealand dollar was up 0.10% at 0.6867, compared with the opening levels at 0.6861 after the pair hit a session high of 0.6875, while the pair reached a low of 0.6856.

On the New Zealand economy, the housing market data was released with a reading of building permits, which showed a 1.5% rise from a 1.3% drop in September, before we saw the Governor of the Reserve Bank of New Zealand, Adrienne Ur, Business in Auckland.

On the other hand, investors are looking forward to the outcome of the participation of FOMC member and Federal Reserve Bank of New York Chairman John Williams in a panel discussion entitled "The Global Economy: Addressing the Future Slowdown" at the 80th plenary meeting of the Thirtieth Group. Chicago Purchasing Managers, which may reflect a widening to 58.6 versus 58.4 last October.

This came hours after the Federal Reserve unveiled Thursday the minutes of the Federal Open Market Committee meeting held on November 7 and 8 that there was a close increase in federal funds rates and that monetary policy makers in the Federal Reserve had discussed On the timing of a moratorium on future interest rate increases.

Following Federal Reserve Governor Jerome Powell's speech at the New York State Economic Forum last Wednesday under the headline "Federal Reserve Framework for Financial Stability Control", federal funds are "slightly less" than neutrality, which has been priced in the markets as " A possible moderation in the pace of tightening monetary policy by monetary policy makers at the Fed.

Technical analysis:

The NZDUSD continues to fluctuate near the neckline of the upside-down head and shoulders pattern shown in the chart above, and the price needs to breach 0.6885 to get a strong incentive to support the bullishness over intraday and short term, where our next target is at 0.7024.

Therefore, the bullish trend will remain valid for the coming period unless the level of 0.6795 is broken and stability below it.

The trading range for today is expected among the support at 0.6800 and resistance at 0.6950.

Support and resistance:

Support: 0.6800-0.6716-0.6648;

Resistance: 0.2902-0.6955-0.7015.

The general trend for today is bullish.

The British pound fell during the US session against the US dollar following developments and economic data that were followed yesterday by the British Royal Economy and the US economy, which included statements by British Prime Minister Teresa Mai about the British exit from the European Union and on the eve of disclosure of minutes of the meeting of the Committee Which took place on the seventh and eighth of this month.

We have followed the RBA to reveal net lending to individuals, which has risen to £ 5.0 billion from £ 4.9 billion in September, above expectations of £ 4.5 billion, in conjunction with a reading of the Mortgage Approvals Index Up from 67,000 in September to 66,000 in September.

We also followed the release of the Money Supply Index (M4), which showed a 0.7% gain versus a 0.3% drop in September, beating expectations for a 0.3% rise. Otherwise, we followed British Prime Minister Teresa Mae that the Bank of England Which included an analysis of the British exit agreement from the European Union, explained that the current agreement is the best choice.

If the British parliament voted against the agreement, its government would begin to take practical steps on Britain's exit from the EU without an agreement, the EU said, adding that the EU had clearly stated that it was the only agreement that could be reached, MPs do not want Britain to break away from the union, and although it is worried about it, the UK will leave the union in March.

On the other hand, we followed the US economy to reveal personal income and expenditure data, which showed that personal spending growth accelerated to 0.6% from 0.2% in September, beating expectations for a 0.4% growth. Personal income reading showed accelerated growth to 0.5% versus 0.2% in September, also surpassing forecasts for 0.4% growth.

In the same context, we also followed the largest economy in the world reading the personal consumption expenditure index, which showed a slowdown of growth to 0.1% compared to the previous September and expectations of 0.2%, and the annual reading of the same index slowed growth to 1.8% compared to reading Annualized for the month of September and expectations at 1.9%.

This came in conjunction with the reading of the index of requests for aid for the week ending on 24 of this month, which showed a rise of 10 thousand applications to 234 thousand applications in the previous weekly reading, contrary to expectations at 221 thousand requests, as indicated by the reading of the index of continuing claims for the week of 17 Of the month, up by 50 thousand to 1,710 thousand applications against 1,660 thousand applications, worse than the expectations of 1,663 thousand applications.

To the release of housing data, which showed a decline in new home sales 2.6% against 0.7% in September, contrary to expectations of a rise of 0.8%, while the annual reading of the same index showed a widening decline to 4.6% compared to 3.3% in the annual reading Prior to September, which is also worse than the forecast for a contraction of 2.8%.

Technical analysis:

GBP / USD is trading around the 1.2800 barrier, and the pair remains above the pivotal support at 1.2725, keeping the bullish scenario intact for the coming period, supported by Stochastic positive, with our main target at 1.2963.

A break of 1.2725 will press the price to test the most important support for short- and medium-term trading at 1.2636.

The trading range for today is expected among 1.2700 support and 1.2900 resistance.

Support and resistance:

Support: 1.2773-1.2725-1.2687;

Resistance: 1.2800-1.2843-1.2894.

The general trend for today is bullish.

EURUSD

The pair is consolidating within a very narrow range before the start of trading in Europe. The results of the G20 meeting is in the focus of the market’s attention. The pair is expected to continue moving within the range today. 

The price is above the middle Bollinger band, above SMA 5 and SMA 14. RSI is above the level of 50% and is moving horizontally. Stoch aren’t informative.

Trading recommendations:

The pair is expected to remain within the range of 1.1340–1.1460 today.

The single currency of the European Union region fluctuated in a tight range, rising in the US session to see its rebound for the second straight session since November 14 against the US dollar following developments and economic data that followed Thursday on the economies of the euro area and the US economy. Citing the disclosure of the minutes of the meeting of the Federal Committee held on the seventh and eighth of this month.

Germany's consumer price index slowed to 2.3% from 2.5% in October, below expectations of 2.4%. The preliminary annual CPI reading for Spain, the fourth-largest economy in the euro-zone, also showed growth slowing to 1.7% versus 2.3%. In October, worse than expected at 2.0%.

Leading to a reading of Germany's Unemployment Change Index, which showed a drop to 16,000 from 12K in October, in contrast to expectations that the decline would be reduced to 10,000, the release of the ECB's semi-annual financial stability review report, Otherwise, the EU's chief negotiator Michel Barnier has noted that it is in theory to ratify the UK exit agreement from the EU.

On the other hand, we followed the US economy to reveal personal income and expenditure data, which showed that personal spending growth accelerated to 0.6% from 0.2% in September, beating expectations for a 0.4% growth. Personal income reading showed accelerated growth to 0.5% versus 0.2% in September, also surpassing forecasts for 0.4% growth.

In the same context, we also followed the largest economy in the world reading the personal consumption expenditure index, which showed a slowdown of growth to 0.1% compared to the previous September and expectations of 0.2%, and the annual reading of the same index slowed growth to 1.8% compared to reading Annualized for the month of September and expectations at 1.9%.

This came in conjunction with the reading of the index of requests for aid for the week ending on 24 of this month, which showed a rise of 10 thousand applications to 234 thousand applications in the previous weekly reading, contrary to expectations at 221 thousand requests, as indicated by the reading of the index of continuing claims for the week of 17 Of the month, up by 50 thousand to 1,710 thousand applications against 1,660 thousand applications, worse than the expectations of 1,663 thousand applications.

To the release of housing data, which showed a decline in new home sales 2.6% against 0.7% in September, contrary to expectations of a rise of 0.8%, while the annual reading of the same index showed a widening decline to 4.6% compared to 3.3% in the annual reading Prior to September, which is also worse than the forecast for a contraction of 2.8%.

Technical analysis:

EURUSD starts today's trading with a positive calm to gradually creep towards pivotal resistance 1.1443, which requires attention from the upcoming trades as a breach of this level will push the price to achieve more gains and visit the levels 1.1550 and 1.1705 mainly.

So far, we continue to favor the bearishness over the short and medium term at 1.1443, supported by the SMA 50 which meets the mentioned level to add more strength to it, while the Stochastic is showing a bullish cross towards the overbought area, thus increasing the chance to reach 1.1443. With a reminder that our main targets start at 1.1300 and extend to 1.1181.

The trading range for today is expected among the 1.1280 support and the 1.1443 resistance.

Support and resistance:

Support: 1.1341-1.1292-1.1210;

Resistance: 1.1386-1.1443-1.1500.

The general trend for today is bearish.

Csco rallied yesterday, surpassing resistance levels and breaching the SMA50.

The stock rose 0.87%. as it opened at 46.34 and hit a high of 47.48.

Where he reached the Fibonacci level of 61.8 and rebounded.

The moving averages are trading in a bullish sign .and this movement is confirmed by the stochastic indicator which is moving towards the overbought area.

Support and resistance:

Support: 46.23-45.90-455

Resistance: 46.60-47.27-48.43

The general path is moving towards target 48.43.

Gold futures traded in a tight range sloping upward during the Asian session to see their rebound to its second lowest session since November 15 as the US dollar index fell for the second consecutive session from its highest since 13 this month according to the inverse relationship between them On the eve of developments and economic data expected Thursday by the US economy, the largest economy in the world.

Gold futures for February delivery rose 0.01% to currently trade at $ 1,229.90 an ounce, showing a two-week drop from the opening at $ 1,229.80 per ounce, amid a drop in the US $ 0.03 index. % To 96.76 with a rebound from the top in two weeks compared to the opening at 96.79.

Investors are currently looking for the US economy to reveal spending and personal income data that may reflect a stable personal spending growth of 0.4%, unchanged from last September, and personal income growth accelerated to 0.4% from 0.2% in September, While the reading of the Personal Consumption Expenditures (PPI) indicator may show a 0.2% growth rate unchanged from September.

This comes in conjunction with the reading of the index of requests for aid for the week ending on 24 of this month, which may reflect a decrease of 3 thousand requests to 221 thousand requests in the previous weekly reading, while the reading of the index of continuing claims for the week ending on 17 of this month, 3 thousand requests to 1,671 thousand applications against 1,668 thousand applications in the previous weekly reading.

The markets are also looking for data on the housing market, which may reflect a faster growth of new home sales to 0.8% versus 0.5% in September, while the same year's index may show a contraction to 2.8% from 3.4% in September's annual reading, Before we see the Federal Reserve issued the minutes of the Federal Open Market Committee meeting held on the seventh and eighth of this month in Washington.

This came hours after Federal Reserve Governor Jerome Powell said Wednesday at the New York State Economic Center, under the headline "Federal Reserve Framework for Financial Stability Control", that the federal funds' interest is "slightly lower" than neutrality, Markets as a possible moderation in the pace of tightening monetary policy by monetary policy makers at the Fed.

In another context, the markets are also looking forward to what will result from the expected meeting of President Donald Trump and Chinese President Shi Jinping on the sidelines of the G20 summit, which will begin in Argentina on Friday and continue over the weekend, amid investors hope to reach the leaders of the world's two largest economists A trade deal and a trade protectionism between Washington and Beijing that threatens a trade war.

Technical analysis:

The support level stood at 1211.4 and the price could not be braked it after testing it for the second time in two days and rebounding towards resistance level 1227.50

Therefore, the price of gold is rising significantly above and above the SMA 50, which supports the continuation of the scenario of the expected bullish trend for the coming period, which depends on stability above 1208.40, while our next main target is at 1238.30.

The Stochastic is heading towards the overbought area in a bullish sign.

Support and resistance:

Support: 1221.1-1211.4-1208.60-1200.00-1195.9

Resistance: -1227.5-1232.40-1238.30

The New Zealand dollar fell during the Asian session to see its rebound for the second session of its highest since June 26 against the US dollar following developments and economic data that followed the New Zealand economy and on the eve of developments and economic data expected Thursday by the US economy, the largest economy in the world.

At 02:48 GMT, the New Zealand dollar was up 0.07% at 0.6794 compared to the opening levels at 0.6789 after the pair reached a high of 0.6798 and a low of 0.6784.

We followed the New Zealand economy to reveal the Australian banking and New Zealand business confidence statistics, which showed a steady decline of 37.1 unchanged from last October, while the same statistical reading of business expectations showed a 7.6 to 7.4 increase Last month, we would like to point out that a statistical survey is being conducted for about 1,500 companies to assess the outlook for the coming year.

This came hours after the release of the Bank of New Zealand's semi-annual Financial Stability Report, New Zealand Governor Adrin Ur's press conference on the Wellington Financial Stability Report, and Orr's testimony to the Financial Stability Report before the New Zealand Parliament Selection Committee in Wellington.

On the other hand, investors are currently looking for the US economy to reveal spending and personal income data that may reflect a stable personal spending growth of 0.4%, unchanged from last September, and personal income growth accelerated to 0.4% from 0.2% in September (September), while the reading of the Personal Consumption Expenditures (PPI) indicator may show a 0.2% growth rate unchanged from September.

This comes in conjunction with the reading of the index of requests for aid for the week ending on 24 of this month, which may reflect a decrease of 3 thousand requests to 221 thousand requests in the previous weekly reading, while the reading of the index of continuing claims for the week ending on 17 of this month, 3 thousand requests to 1,671 thousand applications against 1,668 thousand applications in the previous weekly reading.

Investors are also looking to release housing data, which may reflect the acceleration of new home sales growth to 0.8% from 0.5% in September, while the same year's annual reading may show a contraction of 2.8% versus 3.4% in September's annual reading, Before we see the Federal Reserve issued the minutes of the Federal Open Market Committee meeting held on the seventh and eighth of this month in Washington.

This came hours after Federal Reserve Governor Jerome Powell said Wednesday at the New York State Economic Center, under the headline "Federal Reserve Framework for Financial Stability Control", that the federal funds' interest is "slightly lower" than neutrality, Markets as a possible moderation in the pace of tightening monetary policy by monetary policy makers at the Fed.

Technical analysis:

The pair is currently trading at 0.6874 which reached its opening level for the day.

Trades are above the moving averages, but the price is moving away from the moving average 7 which is likely to correct, so we wait for price approaching from the average until it takes enough momentum to rise.

Stochastic is in a bullish path after a positive cross and leads towards a saturation area of ​​the buy.

The trading range between support is 0.6824 and resistance is 0.6913.

Support and resistance:

Support: 0.6824-0.6792-0.6755

Resistance: 0.6874-0.6913-0.7025

The British pound rose during the US session against the US dollar following developments and economic data followed Wednesday by the British economy and the US economy, which included the Bank of England disclosure of the results of the stress test for banks and the Financial Stability Report and the comments of the Governor of the Bank of England Mark Carney on the stability report At a press conference in London, to his counterpart, Fed Governor Jerome Powell, at the New York State Economic Club.

At the opening of the Asian session, the GBPUSD pair rose to 1.2847, compared to the opening levels at 1.2821.

British Prime Minister Teresa Mae told the British Parliament that the proposed agreement for the orderly departure of Britain from the European Union is the best for the British monarchical economy, explaining that the economic analysis released today states that the agreement preserves jobs. The fishing industry will determine who has the right to China within the territorial waters of the UK.

The political declaration agreed to support the strengthening of economic and security relations between Britain and the European Union. The Kingdom also has the right to establish sustainable security cooperation with the EU, she said, adding that her government will not be able to sign a trade agreement with the EU until after the official exit. In activating the Backstop plan, with the understanding that this agreement helps to ensure a better future and voting against it will impede it.

Technical analysis:

GBPUSD made a significant positive move yesterday to settle above 1.2800, driving the price to achieve more gains over intraday basis, targeting the 1.2894 level at the 20 MA. Then the 1.2963 level at SMA 50 before determining the next destination's fate he explained.

The Stochastic has managed to break out of the oversold territory and is now at the bullish Aegean cross.

We note that a break of 1.2963 will lead the price to achieve further gains and head towards the areas of 1.3226 in the near term, while a break of 1.2725 will put the price under negative pressure whose targets start with testing pivotal support 1.2636.

The trading range for today is expected among 1.2725 support and 1.2950 resistance.

Support and resistance:

Support: 1.2773-1.2698-1.2636

Resistance: 1.2843-1.2894-1.2963

The general trend for today is bullish.

The single currency of the European Union region rose during the Asian session to see its second-lowest session since November 14 against the US dollar on the brink of developments and economic data expected Thursday by the Euro-zone economies and the US economy, Mario Draghi at the Global Forum on Research on International Macroeconomics and Finance in Frankfurt and the release of the semi-annual report on financial stability review by the European Central Bank.

At 05:24 am GMT, the EURUSD rose 0.20% to 1.1389, compared to the opening at 1.1366 after the pair hit a session high of 1.1390 ​​and a low of 1.1363.

The markets are looking for the second largest economy in the region to detect the second reading of the GDP index, which may reflect the stability of widening at 0.4%, unchanged from the initial reading of the third quarter compared to 0.2% growth in the second quarter, as shown by the annual reading of the index The same growth stability of 1.5% also remained unchanged from the previous annual reading of the previous third quarter, compared to 1.7% in the second quarter.

With a reading of the French Consumer Spending Index, which could reflect a 0.5% rise from a 1.7% drop in September and ahead of the forthcoming ECB President Mario Draghi's speech in Frankfurt before we see the initial CPI reading for Spain the fourth-largest economy in the euro zone, which could reflect slowing growth to 2.0% from 2.3% in October.

Investors in the region's biggest economies are also looking for a preliminary reading of the consumer price index, which could show a 0.2% growth in the index, unchanged from last month's reading, while the index's annual reading may slow to 2.4% from 2.5% Last month. Leading to the reading of Germany's unemployment change, which may show a decline in the number of people to 10 thousand versus 11 thousand in the previous month.

On the other hand, investors are currently looking for the US economy to reveal spending and personal income data that may reflect a stable personal spending growth of 0.4%, unchanged from last September, and personal income growth accelerated to 0.4% from 0.2% in September (September), while the reading of the Personal Consumption Expenditures (PPI) indicator may show a 0.2% growth rate unchanged from September.

This comes in conjunction with the reading of the index of requests for aid for the week ending on 24 of this month, which may reflect a decrease of 3 thousand requests to 221 thousand requests in the previous weekly reading, while the reading of the index of continuing claims for the week ending on 17 of this month, 3 thousand requests to 1,671 thousand applications against 1,668 thousand applications in the previous weekly reading.

Investors are also looking to release housing data, which may reflect the acceleration of new home sales growth to 0.8% from 0.5% in September, while the same year's annual reading may show a contraction of 2.8% versus 3.4% in September's annual reading, Before we see the Federal Reserve issued the minutes of the Federal Open Market Committee meeting held on the seventh and eighth of this month in Washington.

This came hours after Federal Reserve Governor Jerome Powell said Wednesday at the New York State Economic Center, under the headline "Federal Reserve Framework for Financial Stability Control", that the federal funds' interest is "slightly lower" than neutrality, Markets as a possible moderation in the pace of tightening monetary policy by monetary policy makers at the Fed.

Technical analysis:

The EURUSD pair traded around 1.1380 after yesterday's bullish rally, keeping the downside scenario intact so far, relying on stability below 1.1443, supported by negative pressure from SMA 50.

Our targets start with breaking 1.1300 to confirm the trend towards 1.1181 as the next major target, taking into account that a break of 1.1443 will stop the expected decline and lead the price for gains starting at 1.1550 and extending to 1.1705.

The trading range for today is expected among the 1.1280 support and the 1.1443 resistance.

Support and resistance:

Support: 1.1341-1.1292-1.1210

Resistance: 1.1386-1.1443-1.1500

The general trend for today is bearish.

USDJPY

The pair is trading below 113.45 due to weaker USD rate caused by yesterday’s the Fed’s chairman Jerome Powell’s speech that was interpreted by the markets as the indication of the central bank’s unlikeliness to hike interest rates further.

The price is below the middle Bollinger band, below SMA 5 and SMA 14. RSI is below the level of 50%. Stoch are entering the oversold territory.

Trading recommendations:

If the pair takes hold below 113.45, while the demand remains on the market, a local drop to 112.75 will be likely.