› Market review, Mar 19 – Mar 23, 2018

Market review, Mar 19 – Mar 23, 2018

EUR/USD

Because of the US and Japan, investors' interest in risk is gradually declining as the fears about global trade wars are still relevant. The EU is aloof for now, expecting the fruits of QE, “the first berries” of which have occurred the last week after the strengthening of the American dollar.

During this week the long-awaited meeting of FRS on the interest rate is expected. As early as Monday, the meeting of the finance ministers and the Central Bank of the Great Banks will begin. Now we are going to consider the technical indicators.

Earlier it has been already written about the formed wedge at all time frames, and it has begun to work itself since Friday. The exit from the wedge was quite strong, the movement of the price was at 66.5 points. Now the correction of this movement is almost over and has moved to a small consolidation in the range of 1.22289-1.2261.
In the coming days, you can expect the tests of the corridor in anticipation of strong leverage on the price, and the first one will be on Tuesday from the EU. On Wednesday, there will be the meeting of FRS, and the US dollar will finally decide on its direction. A very interesting week is ahead, saturated with good signals for trading both in long and short.

Market review, Mar 19 – Mar 23, 2018

BMW

It is worth noting that BMW is the only German automaker, which on all its official resources (internet, press) and reports pays due attention to CO2 emissions into the atmosphere. Moreover, it emphasizes on the permanent declining trend in grams of СО2 / km; from 2014 to 2017, the indicator fell by 8 grams.
Against the background of scandals between other German automakers (VW, Daimler - it has been written earlier) and the US, related specifically to emissions into the atmosphere, it is a huge plus!

2013 year has become the "birth year" of the electro-direction for BMW and as of today there are series of two models: fully electric i3, hybrid sport car i8 coupe and roadster.

You can recall the words of Klaus Frolich (member of the board of BMW AG) about i8: "The BMW i8 has already become the best-selling sport car in the world and I am confident that this car will bring even more success."

Let's back to the schedule and what to expect when the report is released. Also, take into consideration the financial report on March 21 and the gathering of
investors on March 22, where the strategies and innovations for the future will be presented. To expect that the forecast of 50.28 billion euros will be justified is not worth it. BMW shows a stable income of 23-25 billion every quarter. Therefore, we should expect a price drop on the day of the release of the financial report, but the next day the fall will be corrected and will be replaced by the drop in growth. The nearest target is 88.2. In this tool you can earn both on the fall on the day the report is released, and on growth from the 22nd. And it is worth noting that the drop will occur only because of the inconsistency of the overestimated forecast with the reality, and not because of problems in the company.

Market review, Mar 19 – Mar 23, 2018

USD/RUB

The results of the elections in Russia did not surprise anyone. After processing 99.8% of the protocols, Vladimir Putin scored 76.6% of the votes. Of course, the most important is the long-awaited meeting of the Federal Reserve System on the interest rate on Wednesday and the second stage of raising the interest rate by the Central Bank of Russia on Friday (it is worth noting that the forecast has risen up to 0.5%, not 0.25% as it was before)

The weakening of the ruble after the elections is quite expected, on Monday the market will "wake up" and there will be more volatile movements. On Monday morning, the price has moved into a small consolidation in the range of 57.26-57.73. It is worth waiting for the test level of 57.73, after the breakdown of which, the growth will continue to 58.20 approximately on Wednesday. And by the end of the week you can expect the ruble to drop to the level of 58.50.

Market review, Mar 19 – Mar 23, 2018

GOLD

The last week was negative for the value of gold. During 3 sessions it has been showing a negative trend, which has continued on Monday, when the price of yellow metal has reached a 2-week low. This event was caused by the confident growth of the US currency, which could be observed earlier.
Now all the attention of investors and traders is focused on the two-day meeting of the MHIF, which will begin on Tuesday, as the head of the Federal Reserve System has given a fairly hint on raising the interest rate in the near future.

The lack of action on the part of the US central bank is likely to support the value of gold on the market and will allow it to move away from its local minima. In the case the words of the American financial regulator do not disperse with the actions, we can expect a further decline in the value of the precious metal.

Market review, Mar 19 – Mar 23, 2018


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