Daily Technical & Fundamental Analysis

Oil price shows some gains but requires extra driver
11 January, 2019 14:49

Oil price shows some gains but requires extra driver

Prices for Brent oil neither soared nor collapsed yesterday. Meanwhile, the Friday trading was marked by some upturn of oil quotes, which means that the market wants to keep recovering after the massive selloffs observed in late 2018. For now, further price upturn seems to need extra driver since the increase is losing the pace, as the market analysts noted. At the same time, some profit-taking is possible especially ahead of the weekend.

Prices for oil remain on rise
09 January, 2019 14:00

Prices for oil remain on rise

Following a short-term break on Monday, oil prices have resumed strengthening by now. Brent oil managed not only to maintain positions above $57/bbl but even gained grounds reaching $59.80 on Wednesday. Thus, the price is coming closer to the psychological level of $60. API posted a decline in the US crude oil reserves. The volumes reportedly dipped by 6 million bbl per day, which 2-fold above the expected level. 

First week of 2019 marked by hikes of Japanese yen
03 January, 2019 16:45

First week of 2019 marked by hikes of Japanese yen

‚ÄčThe Japanese yen has posted strong upturn against the majors in the first week of 2019. At the same time, the observed hikes hardly can be connected with the moves of BOJ, especially given that Tokyo does not want to get soaring national currency. Along with other reasons, higher Japanese currency can be explained by stronger demand for protective assets, with the Japanese yen being among the safe havens, amid the recent downgraded revenue report by Apple.
Dollar weaker, euro yet to respond to ECB bearish signals
27 December, 2018 14:32

Dollar weaker, euro yet to respond to ECB bearish signals

The US dollar failed to show a long-term rebound. Seeing stock market upturn in the USA, the dollar soared against the majors, but later lost the pace and resumed the weakening. Moreover, investors are run out of the steam as well. Asia posted mainly negative market developments amid skyrocketing Wall Street indices. At the same time, the European indices were differently directed, which confirmed the technical nature of the recent decline on oversold currency.

Euro to US dollar rate fluctuates near 1.14 handle
26 December, 2018 17:16

Euro to US dollar rate fluctuates near 1.14 handle

The euro posted some gains at the morning trading today. Moreover, euro bulls even managed to offset some decline faced a day earlier. In general, the euro-to-US dollar started following moderate downward trend yesterday. Trading was slow due to the Christmas holidays and the market saw no economic reports from the USA and the euro-area either.

Euro continues winning streak
20 December, 2018 15:56

Euro continues winning streak

The euro has been strengthening this week with a good leap being recorded in the second half of the week. Following some decline, the bullish players keep pushing for the rise. The euro-to-US dollar exchange rate broke the $1.14-handle touching some 1.1472 near the 100-day moving average. As a result, buyers have calmed down somewhat. The observed upturn is also bolstered by the factors that boost euro positions but affect dollar's ones.

Sterling posts gains on Tuesday
18 December, 2018 15:01

Sterling posts gains on Tuesday

On Tuesday (December 18) the sterling is gradually restoring positions vs the greenback with the exchange rate reaching some $1.2680 now. The positive dynamics of the British currency is related to one and the same issue – Brexit voting in the UK parliament. It has been reported lately that the previous vote scheduled on December 11 was cancelled, while the new date has been slated for January 14. It is interesting what tactics Theresa May may choose this time.

Emerging market currencies positive before Christmas holidays
18 December, 2018 13:43

Emerging market currencies positive before Christmas holidays

The currencies in the emerging markets have been positive at the trading week before the Christmas, though investors do rush to spend money on risk assets seeing a slower economic upturn in the world. At present, it is clear that the locomotive for the currencies of the emerging markets is the US dollar (in particular its weakening). The greenback has slacker positions on upcoming the US Federal Reserve meeting amid the fact that investors are slow to trade and prefer to wait and see, so the currencies in the emerging markets can continue rising. Speaking about Chinese yuan, it showed stable rate against the US dollar – investors are getting ready for the this-week big events in China.

Situation in oil market can provoke interventions
18 December, 2018 11:20

Situation in oil market can provoke interventions

The oil market has not changed much. The market participants keep getting rid of futures seeing more or less viable upturn attempts. The similar situation is said to take place lately – Brent prices hit two-week bottom near $58.60 on Tuesday. For now, the price stands at some $58.57 and keeps sliding. As the market experts stated, oil quotes fail both take roots above the $61-handle and psychological level of $60. Technically, this means that they can drop deeper in the near term.

Oil market players generally sceptical now
14 December, 2018 16:26

Oil market players generally sceptical now

After some price upturn on Thursday coming closer to the 62-handle, oil is again depressed at the Friday trading falling down to the 61-handle. The fluctuations remain restrained staying within this-week range. According to the report of the International Energy Agency (IEA) released lately, oil prices can skyrocket driven by the decreasing investments in oil production. Moreover, the IEA stated in its report that the slacker demand for the oil as automotive fuel which will be recorded beginning the middle of 2020, will be offset by the petrochemical products and other transportation means. Baker Hughes will release US drilling activity report on Friday.

Germany loses status of economic upturn driver in euro-area
14 December, 2018 15:41

Germany loses status of economic upturn driver in euro-area

The European currency has broken the $1.13 handle for the first time over two weeks, touching the bottom near $1.1285 on Friday. It seems that the euro faced some support at this level. The observed euro dynamics can be driven by a number of economic factors. Demand for the risk assets resumed slackening after a 2-week break. At the same time, the US-China trade talks have to take a backseat by now, while the urgent issue is new concerns about global economic slowdown. Being a risk asset, the euro was affected by the market changes, with stronger demand for the greenback as a protective asset only aggravates the current situation.

Upcoming ECB meeting makes euro less attractive
12 December, 2018 14:32

Upcoming ECB meeting makes euro less attractive

After being slack for about two days, the euro has shown some upturn against the US dollar in the middle of the week. However, the euro-to-US dollar pair remains in the red before the release of the US inflation data and the meeting of the European Central Bank, the week milestones. The bearish messages of Mario Draghi may only expand pressure on the euro. For reference, the currency is depressed from many fronts (Italy, UK, France). As a result, the euro start losing its attractiveness in case of more signs of the political crisis spreading in Europe.