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- Varchev Finance: Trading day in one post – 14.09.2018
Varchev Finance: Trading day in one post - 14.09.2018
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Loading...Asian Stock Market - For the first time in a while, Asian markets are trading a dose of positivism stemming from the White House's decision to resume talks with China on tariffs. So far, the Asian markets are far from a support area, but it is good to head off and start building a long, long-term position through ETF's tracking the growth of the entire region. FXI.US, which tracks the development of large capitalization companies and EEM.US, the MSCI Emerging Market ETF, which tracks emerging markets as a whole, is a good start to this. Both ETFs are at key levels of support that we can take advantage of as soon as the US markets are opened today. Here's how to position yourself.
FX Market - Emerging market currencies are on the rise after it became clear that the US and China will reunite at the negotiating table. On the other hand, better data from China helped boost NZD and AUD. Today we will focus on EUR and GBP, as at 12:00 we expect the balance of trade data in the euro area, and from 13:00 the speech of Mark Carney, Governor of the Bank of England. Given the BOE ton of yesterday, I expect GBP to get support from Carney's speech today. Currently, the GBPs are "too high" and are risky for long-range trading. After Carney's speech today, it's a good idea to wait for a downward adjustment, then to position Long, given the UK and EU's willingness to make a deal for the so-called Soft Brexit. JPY is likely to remain under pressure, given the positive foundations surrounding NAFTA and the trade war.
European stock market - Futures of European stock indices indicate a start without any particular change. In the course of trade I expect positivism born on Wall Street to be transferred to Europe. What we need to be careful about is the banking sector, where late in the morning, JP Morgan was embarrassed. The bank has confirmed that it expects revenue to trade to fall in the third quarter, mainly due to the impact of US tax reform. The news coming from Wall Street's largest revenue company is seen as a signal to the entire banking sector, and banking stocks are likely to remain under pressure today. Ability to short we can look at Credit Agricole. Since the beginning of the year, the company has undergone a downward and steady trend. Upon the last correction in the upward direction, the price reaches a key level of resistance formed by a major diagonal, horizontal, and 38.2% Fibonacci trend adjustment. We then see a decrease and a subsequent second correction in ascending direction. The current levels are comfortable for Short positioning with the most stony stop possible. 50 and 200SMA remain bearish, the downward trend remains in place. The price is below 38.2% Fibonacci correction of the bearish.
US Stock Market - Following the introduction of the new iPhone models, Apple managed to raise US indices during stock trading yesterday. Today I expect the positivism of the US markets to remain, mainly because of the progress of the negotiations, both for NAFTA and the trade dispute between the US and China. To date, US indexes are traded close to All Time High, and do not provide good buying opportunities. At the end of the stock exchange session today, we can see short-term downward adjustments in order to win profits. It is then that we can look for entry levels with long. However, the volume has to be reduced as much as possible over the weekend and the overall high geopolitical risk.
Market catalysts today at the European and US Stock Exchange Session - 14.09.2018
12:00 Europe - Trade Balance
13:00 UK - Speech by Mark Carney, Governor of Bank Of England
15:30 USA - Retail Sales
16:15 USA - Industrial Production
Trader Petar Milanov Read more:
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