Nikkei Opened Rebound
Japan’s Nikkei Stock Index at the beginning of the opening of trading on Tuesday (22/03) opened rebound, when it was observed rose 351.11 points or 2.10 percent at 17075.92. Strengthening the Nikkei index triggered weaker yen and rising crude oil prices.
This morning observed the Japanese yen retreated to a level of 112 handle against the dollar, with the pair dollar / yen up 0.19 percent at 112.14 at 08:12 when HK / SIN.
In early trading this morning, shares of major Japanese exporters received a boost Tuesday morning, with Toyota shares rose 3.24 percent, Nissan shares rose 3.35 percent and Honda shares rose 2.94 percent. A weaker yen is usually positive for exporters because it increases the numbers of their overseas profits when converted into local currency.
Crude oil prices rose overnight, Reuters reported that the data showed crude inventories at Cushing, Oklahoma, the delivery point for US futures fell for the first time since January. US crude futures for April delivery rose 1.2 percent to $ 39.91 per barrel.
During Asian hours, US crude oil futures for May delivery, which becomes the front month contract, was up 0.24 percent at $ 41.62 per barrel. While the price of global benchmark Brent crude oil futures were up 0.19 percent at $ 41.62, after ending up 0.8 percent.
Japan’s Index shares rose 0.98 percent responding to the strengthening crude oil.
As for the Nikkei index futures rose monitored 420 points or 2.54% at 16.930, up compared to the previous closing at 16.510.
This morning will be released economic indicators data Nikkei Flash Manufacturing PMI which is expected in March recorded the same result with previous results.
At noon, the data will be released economic indicators All Industry Activity Index MoM in January, which indicated positive will rise from the previous negative results.
Technically,
Resistance: 16950 17025 17100 High / Low: 16975/16790
Support: 16870 16790 16680 Running Price: 16945
Comment: For intraday trade today suggest Sell at the level of 16980 stop loss at the level of 17035 targets at the level of 16710.
Yen Weakens Against US Dollar
The yen traded weaker in the Asian session on Tuesday (22/3). Post information that Fed policy makers said it would raise interest rates in April.
USDJPY rose 0.13% at 112.09. In Japan, the manufacturing PMI for March is scheduled with a projected increase 50.6 from 50.1 the previous month.
US dollar index, which measures the strength of the greenback against other major currencies, last rose in 95.40 level.
UUM in the yen rose on Monday until the end of the Asian session and the opening of the European session.
The safe-haven currency harvested after various leaders voiced doubts about the central bank’s economic prospects each region throughout last week, strengthening oil prices once again hit at $ 40, and the ride leaves the British political problems.
Technically,
Resistance: 112.50 112.90 113.30 High / Low: 112.19 / 112.03
Support: 110.80 111.20 111.60 Running Price: 112.10
Comment: For intraday trade today suggest Buy at the level of 111.50 stop loss at the level of 111.25 the target at the level of 112.90.
Greenback Recovery – Dim Gold
Gold closed lower on Monday, extending weakness for the 3rd day, amid a strengthening greenback and the stock market. But the prospect of sustainability level of ultra-low interest rates are still limiting the decline of this precious metal.
Bullion has recorded 17% so far this year following the fading expectations of an interest rate hike. Although encouraged by dovish Fed statement, gold failed back 13-month highs and had to be turned down as the US dollar rebounded.
While the ownership of physical gold-backed securities reported continues to increase. SPDR Gold Shares registered at New York on Friday reported the reported inflow of 11.9 tonnes, pushing the total inflow this year to 176.6 tonnes. The amount is 40.8 tonnes higher than in the same period last year.
On the technical side, the daily closing below the 21 day moving average has returned XAUUSD under bearish pressure. Stochastic and RSI which began to fall below the center line also supports the potential of this precious metal to move lower towards the $ 1236.95 area at least in the short term.
Technically,
Resistance: 1247.20 1249.80 1252.10 High / Low: 1245.80 / 1242.50
Support: 1243.00 1240.20 1238.00 Running Price: 1245.50
Comment: For intraday trade today suggest Sell at the level of 1249.00 stop loss at the level of 1251.50 the target at the level of 1239.00.
