Weekly Market Review

22th April  2013

Good Morning!

At the U.S. and Europe the markets closed their worst trading week for five months
While trading on Wall Street on Friday ended with gains after three days thanks to a good Financial reports by the giants of Microsoft and Google, at a weekly Summary, the Dow lost 2.1%, the Nasdaq fell 2.7%
And the S & P 500 fell by 2.1% as well, but was down 3.3% since the peak touched nominal it Closed on 11 April

At Europe, the English FTSE finishing higher on Friday but after six consecutive days of Declines, and a weekly summary dropped 1.5% in the week

A similar picture occurred in France where domestic index corrected upward slightly on Friday, but the weekly summary declined by 2.1

German DAX ended six consecutive days of declines, and the week down 3.7%

Commodity market, the gold recovered slightly in the last two days of trading after the sharp Fall in the price down ten days ago but concluded weekly loss of 7.1% and closed at a price Of U.S. $ 1.295.6 per ounce

Foreign exchange market, the JPY continued to weaken against the U.S. dollar for the fourth Day in a row
And government to Japan continues to navigate the local currency impairment and without Further reference from
Finance ministers and central bank governors (G -20) who met at the weekend
At this meeting it was decided to take a step back with regard to the former requirements From leading economies
And the developed world to introduce austerity programs and to deal with the global Economic crisis
There are no clear objectives lowering national debt of countries but settled in a general The Unstable economy
This morning at Asia market recorded gains for the second day in a row
As the Nikkei index rising by nearly 2% and is approaching a peak not seen since July 2008

And the U.S. futures signaled a positive opening as well.

MARKET DATA
15:00 - Existing Home Sales (USA)

Trade opportunities:

GBP/USD

On 4 hours chart we can see a rising channel going up
Our first option is to trade during the day into time intervals between the ends of the Channel
The near support area of the pair is at 1.5200
If we get bullish candlestick formation we can look for CALL trades

 

If the pair breaks below the support area and then the rising channel line, we can schedule Entry of the first break down with PUT options or we can wait and make sure that it is not a False break and join the downward after a retest of the breached support area and Decreased in the second wave of renewed breakout.

USD/JPY

On 4 hours chart the pair arrived at the resistance level of 99.90 and formed Double Top Pattern.

 

The average of the stochastic oscillator are over 80 area, an overbought area
The averages of the RSI are the next to the high level of 80
As long as the pair isn't break above the resistance area, our tendency is to look for Appropriate candlestick pattern to catch the technical amendment down with PUT options
If the pair breaks up the resistance area of 99.90

The next resistance area is around  101.45 and we can aim over there with  long term CALL  Options rather than intra-day trades.