Forex

GBP/USD WEEKLY OVERVIEW

Dilemma of BREXIT affected Pound badly and it hits sharp decline this week. On Monday Pound slipped to a Technical seven week low against the US $ as market reacted on first day of the week-Monday.as $1,2259. Data reflects political uncertainty on Britain’s economy as British Prime Minister suffered a defeat in Parliament on her Brexit plan. Position has become more worsen as another possible fresh Scottish Independence referendum may be expected in March 2017 if Britain opt to leave European Union. However GBP-USD witnessed abnormal selling pressure on daily charts. Pound faced more than 2% fall against US dollar due to US currency strength coupled with the expectation of hike in interest rates by central bank of US in March 2017 provided jobs and inflation data holdup. However, in te context of slow consumers spending data of UK, rising inflation, and fall in Pound of around fifth against US dollar it is expected Pound will slip further. To avoid this situation immediate strict fiscal tightening measures are needed. On Wednesday Pound fell to 1,2160 its lowest since January 17, 2017. On the other hand US dollar rose to its highest level in 5 days on Wednesday as US private sector added 298000 jobs last month against 190000 as predicted earlier this pushed the dollar to upward trend since March 3rd against all leading currencies.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (GBP/USD)
TIME	S3	S2	S1	MAGNET POINT	R1	R2	R3
WEEKLY	1.1878	1.2040	1.2103	1.2202	1.2265	1.2363	1.2525

GBP/USD	OPEN	HIGH	LOW	CLOSE	CHANGE
WEEKLY	1.22859	1.22998	1.21382	1.21669	0.96%

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EUR/USD WEEKLY OVERVIEW

As clouds of uncertainty relating to Brexit still showing their edge and upcoming elections in major countries of Europe dragged Euro downward whereas dollar rose against Euro on Monday. The euro 0.2 % lower to $ 1,0597, down from a two week high later euro fell 0.35 % to $ 1.0584 following statement of former Prime Minister of France for not taking part in coming Presidential election in France.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (EUR/USD)
TIME	S3	S2	S1	MAGNET POINT	R1	R2	R3
WEEKLY	1.0363	1.0478	1.0547	1.0593	1.0662	1.0708	1.0824

EUR/USD	OPEN	HIGH	LOW	CLOSE	CHANGE
WEEKLY	1.06088	1.06394	1.05243	1.06162	0.069%

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USD/JPY WEEKLY OVERVIEW

Dollar rises against Japanese Yen 0.7% to 114.74 Yen, its highest against Yen since March 3rd, after US President Trump first major policy address. It is expected the policy plan will boost up inflation and growth rate. The US $ hit a seven- week high on Wednesday with huge expectation of hike in US interest rates in near future by US central bank. Now the dollar has strengthened due to expectation of hike in interest rates by central bank and new tax reforms by Donald Trump administration.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (USD/JPY)
TIME	S3	S2	S1	MAGNET POINT	R1	R2	R3
WEEKLY	111.8650	113.2410	114.3060	114.6170	115.6820	115.9930	117.3690

USD/JPY	OPEN	HIGH	LOW	CLOSE	CHANGE
WEEKLY	113.909	114.928	113.552	115.371	1.28%

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GOLD WEEKLY OVERVIEW

News of expected rise in US interest rates by Central Bank of US resulted fall in Gold prices upto two weeks low but on Monday it took breath and steadied. Spot gold was at $1,231.1 an ounce whereas US gold futures were up 0.5% at 1,231. The upcoming higher interest rates, very positive jobs data from US labour market, investment figures showing uptrend, consumers confidence, housing and equity valuation reports are continuously showing positivity. These factors are influencing for stronger US $ as a result dollar priced commodities will become more expensive for holders of other currencies. On the other hand two factors are supporting Gold to steadied its price 1. Recently North Korea has fired four ballistic missiles near Japan north west coast and created war fever tension in the area. Moreover, clouds of uncertainty could not disperse due to upcoming elections in major countries of Europe naturally Gold will get support from the situation against Dollar. However Gold price hit a five week low on Wednesday as dollar gather strength whereas spot Gold was down 0.57% to $ 1,208.41 per ounce.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (GOLD)
TIME	S3	S2	S1	MAGNET POINT	R1	R2	R3
WEEKLY	1145.2233	1178.8233	1188.1567	1212.4233	1221.7567	1246.0233	1.2676

USD/JPY	OPEN	HIGH	LOW	CLOSE	CHANGE
WEEKLY	1233.13	1236.69	1203.09	1197.49	2.89%

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OIL WEEKLY OVERVIEW

Oil prices witnessed sudden up and down trend due to substantial growth in US shale Oil production which aims grow 1.4 millions barrel per day by 2022. On the other hand demand for oil seems less in European markets where as OPEC are likely to extend their production cut till end of 2017. Hence Brent crude fell 10 cents a barrel to 55.80 on Tuesday. On Wednesday Oil prices slip 5% to their lowest level this year as US crude stocks production hit a new record high. On Friday Oil prices fell 3% US crude prices fell $50 a barrel whereas Brent crude fell $ 1.46 a barrel to $ 51.65.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (Oil)
TIME	S3	S2	S1	MAGNET POINT	R1	R2	R3
WEEKLY	43.5000	48.5300	50.5100	53.5600	55.5400	58.5900	63.6200

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DISCLAIMER: This report has been prepared by ISMAR financial. The information and opinions contained herein have been compiled or arrived at based upon information obtained from sources believed to be reliable and in good faith. Such information has not been independently verified and no guaranty, representation or warranty, express or implied is made as to its accuracy, completeness or correctness. This document is only for Reading information.[/box]