13 February 2017 - Daily Brief

The past week has made it clear that the dollar won't be doing a deep correction. On Thursday the dollar started strengthening to major currencies and continued to strengthen on Friday.

US stock market is now on its highs as well. This week you can expect a continuation of the upward movement on the US indices and thus further strengthen the USD. Fed aims to further raise interest rates since the unemployment and inflation rates remain positive.


Pound didnэt go far beyond the range 1,2440-1,2580. At present the pound remains stable currency against the USD. Today it is more likely that the pair will rise or trade in flat. Sales are dangerous. If the pair consolidate above 1.2580 level, then the motion is more likely to continue up to the level of 1.27.


Euro has weakened its position against the USD last week and is now trading at 1.0650. The European session began with a small growth. The pair rose 40P. Nevertheless, EUR / USD sales remain more relevant. At the level of 1.0680 lays good level of resistance, you can search for sales opportunities from this mark. Today no important news coming out on the European economy.


Japanese Yen resumed its decline. The pair last week withdrew from their local lows and now is trading at 113.60. Most likely this is the beginning of a new intermediate term trend upwards. Today the same as before buying is more relevant for this pair. In the area of 113.20 there is a good level of support, from this area you can look for an opportunity to buy. Just released GDP for the third quarter of Japan: 0.2% vs. 0.3% forecast. This news may serve as an engine for today's motion.


As we expected oil didn't go below 51. Price has returned to the upper border of the flat - 53.80. From this area you can search for sales to the level of 52.50 where it is recommended to take profits. In the near future the price of oil will continue to trade in the range of 54-52.


Last week gold, following after main currencies, fell in price. Now the price of gold is 1230. The US dollar this week is likely to continue its consolidation and this may lead the main metal prices to go down. At the level of 1218 is a good support, in this area we recommend to take profits on sales. Once this level is broken sales will be safer again.