SunbirdFX Daily Analysis 30.08.2011
Strong opening for the US stock markets after a frightening weekend. The hurricane “Irene” left serious damage, but the life in NYC got back to normal faster than expected. Indices continued the bullish momentum from last week as NASDAQ gained over 3%. The consumer confidence and FOMC meeting minutes will be on the focus today.
NZD/USD
The NZD has suffered from sharp declines during the crisis of the US downgrade. Now, when the stock markets are calm, the USD is less attractive and it is time for currencies such as the NZD, to recover.
This currency has been moving in a strong uptrend for 18 months and the recent correction was probably a great opportunity to get in. The weekly chart shows an accurate reversal pattern at 0.84, which the NZD has broke. The current resistance is at 0.845 and that is an important phase for the NZD on the way to the climax at 0.88.
EUR/JPY
The EUR has broken an important resistance against the USD, and it is now a test for the European currency whether it can continue towards 1.47 or not. The JPY, on the other hand, is playing around the low levels of the daily chart against the US dollar, and this stamping helps the Euro strengthening against the Yen.
The 20 EMA supports the EUR in the intraday chart and the currency broke the strong resistance of the 200 SMA in the 4h chart, which is a bullish signal for this pair. If the Euro continues rising, it might hit 113.0. However, pay attention to the fact that the angle of the channel is getting lower, which means that that the buyers are losing power.
GOLD
The optimism in Wall Street reduced the panic and the demand for the gold. The outstanding risings that we have seen in the precious gold clearly do not reflect the real price that the gold should be tagged with, considering industrial demands, inventories etc. As we mentioned many times before- investors see the gold as a safe investment when stocks crash. Now, when stocks are rising, it is a good time for taking some profits. The trend here is obviously bullish, and history shows that it is just a matter of time before the gold will back rising again.
Sunbird’s chief analysts suggested buying the gold when it was at $1470/oz, and therefore the Fibonacci can be stretched from this breaking area. The indicator shows that the correction might last till $1700/oz and even down to $1640/oz. $1840/oz is the height that the gold has to break through in order to reach $1900/oz again.
http://sunbirdfx.com/daily-analysis
Warning: Remember, that the prices of shares and other investments can fall fast and you may not get back the money you originally invested. The material here is for general information only and is not intended to be relied upon for individual investment decisions on real cash trading accounts. Take independent advice before making such decisions.
Strong opening for the US stock markets after a frightening weekend. The hurricane “Irene” left serious damage, but the life in NYC got back to normal faster than expected. Indices continued the bullish momentum from last week as NASDAQ gained over 3%. The consumer confidence and FOMC meeting minutes will be on the focus today.
NZD/USD
The NZD has suffered from sharp declines during the crisis of the US downgrade. Now, when the stock markets are calm, the USD is less attractive and it is time for currencies such as the NZD, to recover.
This currency has been moving in a strong uptrend for 18 months and the recent correction was probably a great opportunity to get in. The weekly chart shows an accurate reversal pattern at 0.84, which the NZD has broke. The current resistance is at 0.845 and that is an important phase for the NZD on the way to the climax at 0.88.
EUR/JPY
The EUR has broken an important resistance against the USD, and it is now a test for the European currency whether it can continue towards 1.47 or not. The JPY, on the other hand, is playing around the low levels of the daily chart against the US dollar, and this stamping helps the Euro strengthening against the Yen.
The 20 EMA supports the EUR in the intraday chart and the currency broke the strong resistance of the 200 SMA in the 4h chart, which is a bullish signal for this pair. If the Euro continues rising, it might hit 113.0. However, pay attention to the fact that the angle of the channel is getting lower, which means that that the buyers are losing power.
GOLD
The optimism in Wall Street reduced the panic and the demand for the gold. The outstanding risings that we have seen in the precious gold clearly do not reflect the real price that the gold should be tagged with, considering industrial demands, inventories etc. As we mentioned many times before- investors see the gold as a safe investment when stocks crash. Now, when stocks are rising, it is a good time for taking some profits. The trend here is obviously bullish, and history shows that it is just a matter of time before the gold will back rising again.
Sunbird’s chief analysts suggested buying the gold when it was at $1470/oz, and therefore the Fibonacci can be stretched from this breaking area. The indicator shows that the correction might last till $1700/oz and even down to $1640/oz. $1840/oz is the height that the gold has to break through in order to reach $1900/oz again.
http://sunbirdfx.com/daily-analysis
Warning: Remember, that the prices of shares and other investments can fall fast and you may not get back the money you originally invested. The material here is for general information only and is not intended to be relied upon for individual investment decisions on real cash trading accounts. Take independent advice before making such decisions.