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- Varchev Finance: Trading day in one post 29.03.2018
Varchev Finance: Trading day in one post 29.03.2018
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Loading...Asian Stock Market: Asian indices are trading with mixed moods. Japan's Nikkei is up 0.46%, while the other Japanese benchmark, Kospi, dropped 0.04%. Australian ASX wiped out 0.26% of its value. China's markets have also failed to emerge from the negative area. Hang Seng is down 0.59%, while Shanghai composite and Shenzhen composite are down 0.62% and 0.03% down.
FX Market: USD managed to return some of its losses accumulated at the end or the previous week. EUR/USD is traded below the psychological level of 1.24. The pair is in a still in a dilapidated situation - in the middle of the consolidation, with no significant price momentum in any direction. Today we are looking for personal spending data in the country. They are an important measure of the inflation rate. With better data than expected, the US currency will gain momentum. The reason for this is that higher data will create speculation for rising inflation and the central bank needs it to be able to raise the interest rate according to its dot plot. CAD: Canadian currency lost its momentum. Despite the relatively high price of oil, CAD can not gain significant appreciation. Today we expect GDP data in the country for the first quarter of 2018. Higher than expected data may create a speculation that the bank will raise the interest rate once more this year, which in turn will become the engine for the future rise in the Canadian dollar. GBP: Despite losing its momentum, the pound remains among the strong currencies on the market. The speculations for soft Brexit tilt the investor's interest in a positive direction. Another reason for the strength of the currency is that the central bank will most likely raise the interest rate in May and also leave room for another increase by the end of the year. For now, our moods are positive.
Commodities market: GOLD: Strengthening of the dollar does not positively affect the precious metal. Yesterday, gold wiped over $20 of its value. The price is currently in the middle of the mid-term consolidation. We are currently not looking for positions because we are far from the area of support and resistance. With the appreciation of the dollar we expect to see further depreciation of GOLD. OIL: Black Gold futures indicate a rise in price. Brent crude oil is trading at a 0.3 percent rise at $69.72 a barrel, while WTI rose 0.2 percent to $64.57 a barrel.
European stock market: European indices will start trading without major changes. The German DAX will open a 5-point rise to 11942 eur, the French CAC with a 1 point decline 5131 eur and the UKX UK with a 3 point increase to 7022 pounds. For the time being, the market has calmed down, and this may lead to a rising impetus for the indexes once they have tested the support zone. However, we need to be careful because the market is currently quite volatile and small increases can quickly turn into big downs.
American Stock Market: After the bloody bathroom on Tuesday, the volatility of the indices fell. The price is still close to the SMA 200, which is considered the most serious support and perhaps the only obstacle in the bear market. For the time being, we remain negative to US benchmarks.
Economic calendar for the European and American trade sessions 29.03.2018
9:00 UK - Nationwide housing price
10:00 Switzerland - KOF leading indicator
11:00 Germany - Unemployment rate
11:30 UK - GBP
11:30 UK - Current account
15:30 Germany- CPI
15:30 USA - personal consumption expenditures
15:30 USA - Initial jobless claims
15:30 Canada - GDP
17:00 USA - Michigan consumer sentiment
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