Daily Market Review — 28/12/2015
Easing Back in After The Christmas Holiday
On Friday all the markets were closed for the Christmas holiday. On Thursday the pair showed strong growth against the backdrop of the closing of short positions on the pair on the eve of Christmas. Statistics on the US labor market also influenced the market on Thursday. Thus, according to published data, initial claims for state unemployment benefits in the US last week were 267,000 against an average forecast of experts at the level of 270,000. The value of the previous period was revised upwards from 271,000 to 272,000. The current dynamics of the pair will be fully subject to the general market sentiment as the economic calendar is empty today.
Resistance: 0,7279, 0,7333, 0,7383
Support: 0,7208, 0,7154, 0,7096
On Thursday the pair showed a negative trend, caused by weak accountability of the UK GDP on Wednesday, as well as the number of approved applications for mortgage loans published on Thursday. Dynamics are caused, to some extent, by the publication of the final data on the index of leading and coincident indicators in Japan. Thus, according to the data presented, both indicators showed growth compared to the previous period, although experts predicted higher growth. Further dynamics of the pair will depend on the overall dynamics of the British currency.
Resistance: 179,91, 180,63, 182,07
Support: 179,00, 178,09, 177,04
The main European Stock Markets showed mixed trends on Thursday, caused by the renewed fall in oil prices and weak statistics for the UK Economy. On Thursday all Stock Exchanges had a shorter work day before the Christmas holidays, so most investors were trying to adjust their positions while avoiding opening new positions. Today’s stock markets dynamics in Europe will entirely depend on the overall global stock markets and oil price dynamics. December 28 is a holiday in a number of European countries.
Resistance: 6209,31, 6241,53, 6269,95
Support: 6167,61, 6127,81, 6078,54
Light Sweet Crude Oil Futures
On Thursday oil quotes demonstrated absolutely no movement, caused by low trading volumes on Christmas Eve. However, the rise in oil prices last week was temporary and due to a reduction in US oil inventories, according to the Ministry of Energy’s data. This has led to a correction in the oil market, and some “time-out” for oil prices. The price rise was contributed to by the OPEC’s optimistic forecast of oil price recovering and reaching $80 per barrel due to increasing demand and decreasing production outside of the OPEC. They predict this will lead to a rebalancing of power in the global markets.
Resistance: 38,99, 40,05, 41,36
Support: 37,36, 36,63, 35,74