DuLL TradinG DaY AheaD – SeLL GolD oN RisE - ApR 18

In terms of volatility, yesterday was comparatively a quite day with Euro moving in a narrow 70 pip band, 10-year Spanish bond recovering more than 3pct after successful Spanish Euro 3 billion auctions. German index ZEW economic sentiment 23.4 pct, reflected better economic condition in Germany. There were quite a few positive statements from ECB and Spanish officials that also helped in stabilizing the market. Overall it was a clam day in Europe and the trend was followed in USA.

Today again there is no major data/event in Europe and in USA, but in European session market will be on focusing on UK. Unemployment data may not have bigger impact in the market, but MPC meeting minutes could be the main driver behind Pound Sterling’s move.

Meanwhile, gold volatility continues to dominate the market. Last night’s move is said to be due to offloading of position rather than anything else. The quick bounce back suggest that there are keen buyers on dips, but buyers are still hesitant to pay high price for gold, which means selling pressure to continue on the rise, as strong US Dollar will not help the metal.

However, we could be heading for another dull day and should expect trading in a narrow range, unless we get some exciting news or new development takes place in Europe.

Gold @ $ 1652 = I would wait to sell Gold around $ 1653-55 zones, a break of $ 1646 is required for more losses, which can push gold to $ 1640, but is $ 1637 break’s it would challenge $ 1632. However, $ 1660 is the major resistance level to watch on the upside.

Euro @= 1.3118= Strategy remains unchanged. Any move beyond 1.3150 is a good sell, as long as Euro holds 1.3190. A break below 1.3090 will encourage for 1.3065-70 zones and only convincing break would challenge 1.30 levels. However, until New York expected trading range is be between 1.3102-1.3135

GBP @ = 1.5924= Cable should hold 1.59 levels until MPC minutes announcement and could test 1.5950-60 before the statement is made public. Any up move will find strong resistance around 1.5998 and only break here would encourage for more gains. Support is at 1.5875, break risk for 1.5830.

SeLL EurO-GbP- AuD & GoLD - ApR 17

http://www.forexstreet.net/profiles/blogs/sell-euro-gbp-aud-gold

Tags: http://asadcmka.blogspot.com/

3 members like this

Comment by kiko on April 18, 2012 at 5:45am: good morning sir

Comment by asad rizvi on April 18, 2012 at 5:55am: GOLD @ $ 1654...Allow this move to extend as, which could surge up to $ 1656-58...Go Short there as it will allow to extend your STOPS at $ 1662....GL

Comment by kiko on April 18, 2012 at 6:09am: sir do you think we seen the top of us/jpy for today?

Comment by asad rizvi on April 18, 2012 at 6:20am: kiko, JPY @ 81.33 = Top around 81.70-75, keep a close watch on US 10-yrs-note that has poped up to @ 2.01, if falls below 2% Yen will gain or above close level would put more pressre on the Japanese currency.Should stay aove 80.80. This is the case of interest rate differential....Cheers

Comment by kiko on April 18, 2012 at 6:21am: thank you sir

Comment by asad rizvi on April 18, 2012 at 7:14am: Jason, Well, basically until NYK we may trade in a narrow range. NYK is always difficult to predict.

If you ask me that what i do right now Buy GBP around 1.5895-00 STOPS 1.5875 for 35-40 pips

I will not buy Euro as I prefer Selling from top though likley to bounce nack from 1.3085-90 for 40-45 pips

Comment by Jason on April 18, 2012 at 7:19am: Afternoon Sir.

Thanks for sharing your opinion.

Glad to see your post.

Thats what I was contemplating as well....I bought earlier at 1.59 and closed it at 1.5910...scalping..

Thinking of going long in GBP again...somehow feels that we will see GBP trying to test the 1.5980 today...

Thanks again SIr.

Comment by Jason on April 18, 2012 at 7:25am: Sir.,,

You are most probably right on the EURO and GBP..

market is seeing some support at the levels you mentioned.

Comment by kiko on April 18, 2012 at 7:50am: bought euro @1.3103

Comment by sowMa on April 18, 2012 at 8:12am: Hello Sir as you said in today's blog BREAKING of EURO 1.3090 leads to 1.3065-70 ,i think the pair ready to test once again in next hours before touching 1.3150-60 rite sir ? thank you.