Daily Briefing

• EURUSD- in its support zone on a 30 minute time frame, this support zone is becoming weaker and bias could be towards the downside

• USDJPY-price action has broken out of its downward channel on a 30 minute frame, and it is trading with in its upward channel. Price has retraced back from its resistance zone- which was given in our analysis yesterday

• GBPUSD- price action has broken out of its ascending triangle and it is trading near its lower line of this triangle on a 30 minute time frame. Bias could be towards the downside

• USD - Appreciated against major basket of currencies

Indices
• Asian markets closed higher on Wednesday as investors took their cues from Wall Street. Financials were leading the gain in Asian trading

• European stocks are set to open strongly higher. Financial could lead the gain here as well.

• US Indices – reached a fresh record yesterday and the S&P 500 was only 2 points shy off from its record high.

Top Stories
• Cyprus is on Fitch’s negative credit rating watch

• Fitch has increased the Philippine’s investment grade.

• Gold is going to record first back to back quarterly losses since 2011

• Warren Buffet still loves Goldman Sachs, and he is going to convert his warrants which he acquired in 2008 into an equity stake.

Things to Remember
• UK GDP Q/Q is due at 09:30 and it is important to remember that recent data from British economy fell short of expectation.

• Italy to sell bonds at 10:00 GMT

Market Sentiment
• Gold- the price action has broken the 1600 mark but, still above its recent support of 1590. Ascending triangle is also forming on 60 minute time frame which is bearish sign.

• Oil- Price action is bullish and it is approaching toward its resistance zone on a 30 minute time frame. The upward trend may take little breather here.

• VIXX- Volatility dropped nearly 7% yesterday.

News Agenda For Today
09:30 GMT GBP Current Account
12:30 GMT CAD Core CPI m/m
14:00 GMT USD Pending Home Sales m/m
14:30 GMT USD Crude Oil Inventories

DISCLOSURE & DISCLAIMER: The Above Is For Informational Purposes Only And Not To Be Construed As Specific Trading Advice. Responsibility For Trade Decisions Is Solely With The Reader.

by Naeem Aslam