Tuesday, December 18, 2012

Daily Market Analysis – Pullback before Santa Claus Rally?

If history is any guide, markets could be ready for another push higher. It is possible that global markets may start from a lower rallying point, as most are somewhat overbought and in need of a breather.  At 8:30am, numbers on the US Current Account index will be released. In short this is a monthly report that measures difference between imported and exported goods, services and interest payments. If this reading is higher than expected, this would be bullish for the USD. Later in the day at 13:15, US FOMC member Richard Fisher will be speaking. His comments can have an impact on the short direction of the USD. For those interested in a more in depth analysis, we at CM trading are here to assist those who are interested in profiting from the financial markets.


So far today, the pair has reached 1.3177. This is a 7 month high for the pair.   On the downside, targets to be aware of are 1.3050 followed by 1.3000. If the pair breaks higher, 1.3220 is the first target followed by 1.3270.

R1: 1.32
R2: 1.3250
R3: 1.3275
S1: 1.3145
S2: 1.312                 
S3: 1.3065


Its currently trading at .84328 with targets on the downside at .8425 and .8418.  On the upside its first target is .8438 followed by .8458. At 16:45, we will get numbers on the monthly Current Account index. If these numbers are lower than expected, this would be bearish for the NZD.

R1: .8438
R2: .8458
R3: .8498
S1: .8425
S2: .8418
S3: .8375


So far today the GBPUSD has reached 1.6223. Current targets on the upside are 1.6215 followed by 1.6250. On the downside targets are 1.6195 and 1.6150.

R1: 1.6215
R2: 1.625
R3: 1.6270
S1: 1.6195
S2: 1.6150
S3: 1.6110


Gold is trading at $1700.93, up from its low of $1686.45. Targets on the upside are $1704.48 and $1718.10. If gold heads lower, price levels to watch are $1689.16 and $1675.22.

R1: 1704.48
R2: 1718.10
R3: 1721.30
S1: 1689.16
S2: 1675.22
S3: 1663.00

Daily Calendar for Tuesday, December 18th   

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FOMC Member Fisher Speaks
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Successful Trading!

Jacob Fendrich
Senior Market Analyst


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