Currency Zone

EUR/USD Intraday: the bias remains bullish.

Pivot: 1.1300

Our preference: long positions above 1.1300 with targets at 1.1370 & 1.1405 in extension.

Alternative scenario: below 1.1300 look for further downside with 1.1280 & 1.1250 as targets.

Comment: the RSI is bullish and calls for further upside.

 

USD/JPY Intraday: under pressure.

Pivot: 113.75

Our preference: short positions below 113.75 with targets at 113.30 & 113.00 in extension.

Alternative scenario: above 113.75 look for further upside with 114.00 & 114.20 as targets.

Comment: the RSI is bearish and calls for further downside.

 

GBP/USD Intraday: further advance.

Pivot: 1.2980

Our preference: long positions above 1.2980 with targets at 1.3050 & 1.3075 in extension.

Alternative scenario: below 1.2980 look for further downside with 1.2930 & 1.2880 as targets.

Comment: the RSI shows upside momentum.

 

 

EUR/GBP Intraday: bullish bias above 0.8695.

Pivot: 0.8695

Our preference: long positions above 0.8695 with targets at 0.8725 & 0.8740 in extension.

Alternative scenario: below 0.8695 look for further downside with 0.8675 & 0.8655 as targets.

Comment: the RSI is above its neutrality area at 50%.

 

 

USD/ZAR intraday: the downside prevails as long as 14.4310 is resistance

Our pivot point stands at 14.4310.

Our preference: the downside prevails as long as 14.4310 is resistance.

Alternative scenario: the upside breakout of 14.4310, would call for 14.5530 and 14.6260.

Comment: the RSI is below its neutrality area at 50. The MACD is below its signal line and negative. The configuration is negative. Moreover, the pair is trading under both its 20 and 50 MAs (respectively at 14.3619 and 14.3801).

European Shares Set To Open On Cautious Note

European stocks may open lower on Wednesday after energy stocks led a late-afternoon sell-off on Wall Street overnight.

Asian stocks are trading modestly lower in cautious trade as oil prices extended losses after plunging 7 percent Tuesday to mark their 12th straight session of losses in view of OPEC’s warning that a supply glut could emerge in 2019.

Gold prices inched up as the dollar retreated from a 16-month high reached earlier this week.

Industrial production in China rose an annual 5.9 percent in October, the National Bureau of Statistics said today – exceeding expectations for 5.8 percent, which would have been unchanged from the September reading.

Retail sales climbed 8.6 percent year-on-year – missing forecasts for a gain of 9.2 percent, while fixed asset investment advanced an annual 5.7 percent, surpassing forecasts for 5.5 percent.

Elsewhere, Japan’s gross domestic product slipped a seasonally adjusted 0.3 percent sequentially in the third quarter of 2018, the Cabinet Office said in a preliminary report. That was in line with expectations following the 0.7 percent gain in the previous three months.

The European economic calendar stands busy, with several countries reporting GDP figures for the third quarter later today. The U.K will be releasing its inflation data for October.

Across the Atlantic, trading may be impacted by reaction to the Labor Department’s report on consumer prices for October.

Overnight, U.S. stocks gave up early gains to end mostly lower amid drops in Boeing and energy stocks. The Dow dropped 0.4 percent and the S&P 500 slid 0.2 percent while the tech-heavy Nasdaq Composite ended on a flat note.

European markets rose on Tuesday as investors cheered reports of progress in the Brexit negotiations and the resumption of trade talks between the U.S. and China.

The pan-European Stoxx Europe 600 index added 0.7 percent. The German DAX climbed 1.3 percent, France’s CAC 40 index gained 0.9 percent and the U.K.’s FTSE 100 finished marginally higher.

Midday Currency Zone

EUR/USD Intraday: the bias remains bullish.
Pivot: 1.1220

Our preference: long positions above 1.1220 with targets at 1.1310 & 1.1340 in extension.

Alternative scenario: below 1.1220 look for further downside with 1.1185 & 1.1155 as targets.

Comment: the RSI shows upside momentum.

 

 

USD/JPY Intraday: the bias remains bullish.
Pivot: 113.75

Our preference: long positions above 113.75 with targets at 114.20 & 114.40 in extension.

Alternative scenario: below 113.75 look for further downside with 113.55 & 113.35 as targets.

Comment: the RSI lacks downward momentum.

 

 

GBP/USD Intraday: further advance.

Pivot: 1.2875

Our preference: long positions above 1.2875 with targets at 1.2985 & 1.3040 in extension.

Alternative scenario: below 1.2875 look for further downside with 1.2840 & 1.2790 as targets.

Comment: the RSI shows upside momentum.

 

 

EUR/GBP Intraday: the downside prevails.

Pivot: 0.8725

Our preference: short positions below 0.8725 with targets at 0.8675 & 0.8650 in extension.

Alternative scenario: above 0.8725 look for further upside with 0.8740 & 0.8750 as targets.

Comment: the RSI shows downside momentum.

 

 

USD/ZAR intraday: the upside prevails as long as 14.3440 is support

Our pivot point is at 14.3440.

Our preference: the upside prevails as long as 14.3440 is support.

Alternative scenario: below 14.3440, expect 14.2060 and 14.1250.

Comment: the RSI is above 50. The MACD is above its signal line and positive. The configuration is positive. Moreover, the pair is trading above both its 20 and 50 MAs (respectively at 14.4266 and 14.4293).