Analytics from binary options broker Optionova

[AshleyOptionova]

DOW UPDATE 04.15.2014

U.S. Stocks Stay Higher on Positive News.

Stocks rebounded on Monday, snapping a two-day losing streak, after a bigger-than-expected rise in March retail sales offered signs that economic growth was on better footing following a difficult winter.
Investors, meanwhile, were encouraged by strong earnings from banking giant Citigroup.

The Dow Jones Industrial Average gained 138 points, or 0.9%, to 16165. The S&P 500 index rose 15 points, or 0.8%, to 1831.

The Nasdaq Composite Index advanced 33 points, or 0.8%, to 4033.
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Stocks got a boost after the Commerce Department reported that retail sales rose 1.1% last month, the biggest monthly gain since September 2012 and exceeding the 0.8% expected by economists. Excluding auto sales, retail sales grew 0.7%, topping forecasts of a 0.4% rise. The strong increase suggests that sales are bouncing back after the cold winter kept many consumers at home earlier in the year.

“Things are a little bit better on the earnings front and a little bit better on the economic front,” said Michael Arone, who heads portfolio strategy at State Street Global Advisors, which manages about $2.4 trillion. “Coming off that spring thaw, we’re seeing some good numbers.”

Technically Dow jones is bouncing off its trend line at the 16000 level and as we anticipated that Dow jones will give us a strong correction at the 16000 psychological level and that what Dow jones has done. We can Expect Down to reach to the previous highs of 16600 level.

 

[AshleyOptionova]

Doctors of American hospitals began to use Google Glass, as it became known to Optionova

One of the most recent developments in Information Technology – Google Glass – almost immediately after all necessary tests became a popular product in the Internet space. Residents of many countries prefer to explore all the pros and cons of this development, and only then due to the constant monitoring to find out the date of the planned entry into the market of original glasses.

As usual, in the Unites States of America all the innovations in technology start to enter into life of citizens earlier, think experts of binary options broker Optionova. For example, now American doctors during their workday started using Google Glass to optimize the performance of their duties. Moreover, there are already positive results of this new equipment. The fact that, a doctor from Boston due to this development managed to save life of his almost hopeless patient, who was not able to survive in familiar environment rehabilitation.

The essence of the miraculous healing of a person is in reduction of time. In fact, the patient told his American doctor Stephen Horngu information, that he has some precautions. Effect of certain drugs caused allergic reaction, but the patient could not remember the name of these drugs. In order to save time on finding this circumstance, the doctor using Google Glasses used the Internet, where he found the prohibited drugs for this patient.

Thanks to Google Glass Horng managed to display all the names that most directly contributed to saving the patient’s life. Based on the data, the U.S. authorities and officials of the Ministry of Health made a resonant statement that presented a brand new gadget will now be used by doctors for routine examination and treatment of patients. This decision will contribute to the modernization of the health service in the United States as a whole.

Besides, on every door in the ward now there will be special numeric code that belongs to a particular patient. Thus, the attending doctor, during his visit will be able immediately to look into the file clinic, where he will find a full range of information about the person, which he will have to inspect and treat. The main thing is that modern technologies allow representatives of the medical sphere to fulfill their duties with professionalism.

Google Glass is in a free trade in the USA

Already became famous new glasses called Google Glass would soon become the object of free trade in the United States. According to the high level of popularity of this product, the developers made this decision in order to every willing buyer could acquire original gadget. The only nuance of such trade remains limited time for shopping. But only in a certain day the represented glasses can be purchased without problems. In the future there is some ban on such trade. Perhaps, American developers of the new product will be able to hear critics of the owners, after which it will be possible to make some changes and modifications.

The latest development in information technology is a kind of headset for smart phones. These glasses will be equipped with high-quality camera, whereby users without any problems can access the Internet only through the glasses. This innovation is currently unique, because the modified glasses have never been made. Probably in the case of a further rise in popularity of these products Google Glass may become some of competitors. It is not so important, because the users will benefit from this development.

In addition to built-in camera and free access to the Internet, the represented glasses will have a lot of other unique features. For example, due to such technical means citizens will be able to send messages easily to the global network, and also to hold the whole video conferences with colleagues and friends.

In the future, the developers wish to combine their glasses in just three basic needs of the modern population. In this case we are talking about using the Internet, mobile communication, as well as the implementation of more reality.
Certainly, at the moment the citizens of the United States are still at the stage of learning the basic functions of the new gadget. Nevertheless, experts are pretty sure that in the near future Google Glass will try on the status of an integral accessory of every member of society. However, notice experts of Optionova , to achieve the goals of the project the authors will just need to enter their glasses into free usage of the world population, which necessarily requires a certain amount of time expenditures.

 

[AshleyOptionova]

CRUDE OIL UPDATE 04.15.2014

Recent weak economic data and mounting signs of financial risks have dimmed the outlook for China the world’s second-largest economy, sparking talk of imminent government action or even a mini-stimulus plan to shore up growth.
Any monetary stimulus by China will shore up the demand for commodity including crude oil and act as a positive factor for prices.
Oil prices will continue to draw support from the Ukraine crisis, with the United States and the European Union agreeing to work together to prepare tougher economic sanctions in response to Russia’s behavior in Ukraine and to make Europe less dependent on Russian gas. On the other hand, Iraqi exports are due to get an additional boost next month from Kurdistan, which recently agreed to resume pumping 100,000 bpd as a “gesture of goodwill” aimed at easing a dispute with the federal government in Baghdad. Supplies from Iraq to increase and this will cap sharp gains in prices.

Technically the Crude oil is moving higher to its major resistance level of 105.20 level and we can see a sharp sell of from the 105.20 major resistance level on the crude oil. A good opportunity for traders to sell Crude at the 105.20 level.



Financial Analyst at Optionova

 

[AshleyOptionova]

Dollar rate is reducing against the pound for a week for 0, 97%, as noted Optionova

The dollar fell for a week by 0.97 % against the pound, ending the trading session on Friday near 1.6729. The dollar significantly weakened against most currencies on Forex on the base of the negative attitude towards them by market participants due to release of a relatively weak economic reports on Friday, on the 4th of April. At the same time, the growth of the pound to the dollar is supported by strong economic data released in the UK. Trading week ended on the 7-11 of April, and Forex traders summarized their activities.

Experts of binary options broker Optionova summed up the trading week from April 7 to the 11th of April, from viewpoint of fundamental analysis.

Fundamental analysis of the currency pair GBP/USD of the past trading week of 7-11 April on Forex

Monday, the 7th of April. British pound began its strengthening against the dollar from minimum of Friday on the 4th of April near the level 1.6151 after issuing a poor employment report in the USA in March, rising on Monday till the level close to 1.6621.

Tuesday, the 8th of April. The pound rose more than for 140 points against the dollar after a stronger -than-expected report on industrial production in the UK. This day pound showed the largest growth from the level near 1.6606 to 1.6753.

Wednesday, the 9th of April. The Bank of England began a two-day session devoted to monetary policy. The pound rose to the dollar during the trading day with a level near 1.6724 to 1.6796. The positive picture of growth pounds to the dollar was spoiled by the trade balance issue in the UK. The decline in exports of goods, according to the report, shows the weakness of the foreign trade sector, which does not facilitate recovery of the British economy. The main movement of currency pairs occurred after the publication of minutes of the March meeting of the Federal Reserve System (FRS) in the USA.

After learning of them, market participants were defined with the downtrend of the dollar against other currencies because of the tendency to the FRS to easing monetary policy for a long time. Detailed information about the information contained in the records of the U.S. Federal Reserve can be found in the survey of the 10th of April.

Thursday, April 10. This day ended with a meeting of the Bank of England, where it was decided to leave monetary policy unchanged, and the interest rate - at the minimum value of 0.5%. Announcement of the results of the meeting had effected the pound, which reached a maximum in 2014 in the area of 1.6821, and when it met strong resistance at this level, it fell for the first time this week till the area 1.6753.

Friday, April 11. On Friday there was a correction of the dollar against other currencies, aimed at strengthening of it. It is also likely that the correction of the dollar was due to the closing of positions of market participants before the end of the trading week. British pound began to decline to the dollar after the leading index of economic development of Great Britain, which grew by only 0.4 % in February compared with a rise of 0.6 % in January and signaled about further economic recovery of England in next 6 months without acceleration, which was in winter. The pound fell against the dollar to levels near 1.6786 to 1.6716 on the basis of the closing of the trading day.

How Forex traders earn on the dollar in tandem with the pound

Experts of Optionova are trading on the Forex upon a unique trading system, combining fundamental and technical analysis of financial instruments. Proceeding from the general weakening of the dollar on Forex and the uptrend on the pound, experts have discovered a pair of long trades GBP / USD near 1.6580 level and recorded profits of more than 200 points higher than 1.6790. This area is marked on the chart in yellow color.

At the 4 - hour timeframe of the currency pair GBP / USD ending of corrective decline of pound to dollar exchange rate in the long-term trend ended near the 1.6464 level, a minimum of 24 March. Then began the first wave of growth, which reached a maximum near 1.6684. Postponing corrective Fibonacci levels of the minimum, or the start of wave 1 to its maximum, you can see that the pullback of pound to dollar exchange rate was about 61.8% on blue dotted level of Fibonacci.

Next, began the third wave of pound’s growth to dollar exchange rate, which amounted to 161.8 % of the first wave pulse movement. The third wave peaked near the 1.6821 level, which began with a correction downward movement. The decreasing of pound to dollar stopped in the range of the maximum level, which a pound reached since the establishment of minimal interest rate of 0.5 %. In the third wave of impulse movement around this level a price repeatedly consolidated that indicates the strength of this level.
Friday’s extremum identified support and resistance levels for the pound, break of which next week will show traders the likely direction of the currency pair GBP / USD on Forex. Resistance level is near 1.6786 or 88.2 % Fibonacci of the third wave, the level of support - 1.6715 or 61.8 % Fibonacci of the third wave.

If the dollar continues to decline against pound under long-term trend, it is likely to break through the resistance level on the chart up and further strengthening of the pound above the maximum 2014 year near 1.6821. Further growth targets of pound can be counted on the daily timeframe. This option is shown with a green arrow.

If the correction of pound to dollar exchange rate continues, after breaking through the support level, it is likely the further decline in the pound on the chart to the levels of congestion of Fibonacci retracements of the first and third wave near the 1.6684 to 1.6660 and further below, in the area of pivot MF 1.6605, after penetration of which the long-term and medium-term uptrend may change to a downward movement of the dollar against to the pound. This option is indicated by a red arrow.

 

[AshleyOptionova]

The rapid growth rate of the pound has led to the level of 1.6775 against the dollar

As part of the renewed rapid increase the British Pound broke through by another "bull" candleof the level 1.6775 and reached the upper limit of the channel. The 100- period simple moving average is marked asblue line on the graph; it is built on the basis of the closing price (close). Red line marks the 50 - period average moving line, built on the basis of the closing price (close).

The MACD indicator parameters are as follows: fast exponential moving average is 12, based on the closing prices; the slow exponential moving average is 26, based on closing prices; the signaling simple average moving is 9, based on closing prices. The locations of the MACD indicator columns above the zero line indicates its positive trend, and the location of the bars of the MACD indicator below the zero line –the negative dynamics.

The parameters of the RSI indicator are 14 that are constructed on the basis of the closing prices. The RSI indicator overbought area is determined by the intersection of the indicator line above 70 and the RSI indicator oversold zone is defined by the indicator line intersection below 30. For the better detection of the trend the level 50 is in the RSI indicator window. The Stochastic indicator parameters (Stochastic Oscillator) are as follows: the period % K is 5, the period % D - 3, the period of deceleration - 3. Stochastic indicator constructed by simple moving average based on the average price (Low / High). Stochastic indicator overbought zone is determined by the indicator line intersection above 80 and the Stochastic indicator oversold zone is determined by the intersection of the line indicator below 20.

At the moment, the predominant direction of the Forex market–is upward, as indicated by the intersection of the upward moving averages with periods of 100 and 50. Moreover, the both sliding lines show a moderate increase. The upper boundary of the channel, as well - the level of 1.6865 can serve as the nearest resistance to the market.

It is important to note that the current consolidation of the GBP / USD pair occurs for several reasons. In particular, the UK trade balance indices of visible trade have improved and the ones of the trade balance excluding trade with the EU.

 

[AshleyOptionova]

GOLD UPDATE 2014/04/22

Gold Slips in Thin Trading, but Ukraine Tensions Support.

Gold slipped back below $1300 in thin holiday trading on Monday. The London market was closed in observance of Easter Monday.

ETF outflows seen last week, may have weighed on sentiment somewhat. The largest gold back ETF saw nearly a 10 tons drop in its holdings. However, we know that gold coming out of the ETF vaults has been making its way to Asia for satisfying seemingly insatiable demand. That flow of physical metal has been well documented over the last year.

The four-party talks in Geneva last week regarding Ukraine may have somewhat lessened the geopolitical risks, but it would not take long for the rhetoric to start heating up once again. Russia accused Ukraine of violating the just reached agreement in Geneva, following a weekend shooting in Slavyansk, which prompted the pro-Russian mayor of that Ukrainian city to call for Russian to send ‘peace-keeping’ troops.

Ukraine claims that Russian troops are already operating in eastern-Ukraine, which would be a very clear violation of the four-party agreement. The New York Times and CNN published photos of the so-called “green men.” The Crimean annexation started with the infiltration of Russian Special Forces.
Technically, gold is trading at a major support level of 1278. A good buying opportunity arises at the 1278 major support level on gold with minimum risk and maximum reward.