Monday, August 26, 2013

Daily Market Analysis – Will Markets Hold True to Form?


Namely, will the markets maintain the established trading range thus far in 2013?  More specifically, we have the GBPUSD, EURUSD and the USDCHF that are testing their boundaries.  Regarding the US stock market, the last time we saw margin-debt at current levels, it was followed by a major correction to the downside. History isn’t necessarily a guide as to future events but it is a cause for caution.  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. Below are the charts and the day’s economic events to better understand the current short term trends in some of the different markets.


The pair is testing the upper boundary of its yearly trading reached. It reached 1.3451 last week, a 6 month high.  At 1.3372, a lot of downside remains if the pairs heads lower. Price levels to watch on the downside are 1.3365 and 1.3325. If the pair breaks higher, 1.3390 is the first target followed by 1.3410.

R1: 1.3390
R2: 1.3410
R3: 1.3425
S1: 1.3365
S2: 1.3325
S3: 1.3300


Over the last 8 months the EurJpy reached 133.97 and 132.73. Just yesterday saw the currency pair reach 1.3242. Its currently trading at 131.87 with price levels to watch on the upside at 132.10 and 132.75. On the downside,  prices to be aware of are 1.31.75 and  131.50

R1: 132.10
R2: 132.75
R3: 130.00
S1: 131.75
S2: 131.50
S3: 131.25


It’s good to be aware that the highest level reached by this currency pair in the past 6 months have been 1.5750 in early June and 1.5715 just last week. It’s currently trading at 1.5573 and caution should be exercised for those actively trading the GBPUSD.

R1: 1.5590
R2: 1.5640
R3: 1.5720
S1: 1.5560
S2: 1.5540
S3: 1.5495


Since the beginning of the year, the S&P500 rallied an impressive 18% at the height of its uptrend. It currently stand at 1658.50 and is in an interesting position. For it to resume its uptrend, getting above 1680.00 is an important level to be aware. Breaking below 1630 could lead the way for further declines.

R1: 1665.00
R2: 1673.60
R3: 1690.10
S1: 1653.3
S2: 1644.50
S3: 1621.40


Daily Calendar for Monday, April 8th 2013   

Core Durable Goods Orders(MoM)


Successful Trading!

Jacob Fendrich
Senior Market Analyst


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