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GBP/USD WEEKLY OVERVIEW

Continued political uncertainties and recent results of UK election hampered UK’s credit profile bitterly. As ruling Conservative Party has lost its share of the ruling power, pound fell over half a percent against the dollar to $1.2659 on Monday. However pound recovered on Tuesday and traded up 0.7% from $1.2700 to $1.2750. On Wednesday pound increased up against weak dollar to $1.2800. In fact, earlier the pound has fallen to as low as $1.2724. On Thursday pound surged from $1.2700 to $1.2795 after Bank of England meeting hinting rise in interest rates. One can analyze that fundamentals for pound are not found positive in the light of UK budget deficit comprising 2.5% of GDP. Government measures to increase growth could increase the supply of pound resulting weakening of the pound.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (GBP/USD)
TIME
S3
S2
S1
MAGNET POINT
R1
R2
R3
WEEKLY
1.2240
1.2436
1.2590
1.2786
1.2940
1.3136
1.3290
GBP/USD
OPEN
HIGH
LOW
CLOSE
CHANGE
WEEKLY
1.27509
1.27857
1.27501
1.27657
0.12%
EUR/USD WEEKLY OVERVIEW

Political uncertainty flooding economy throughout Europe slowly. The wheel of economic activities became sluggish on Monday. The euro was traded at $1.12. On Tuesday, inflation rate to its highest in four years were witnessed. On Wednesday euro inched up staying just above $1.12. The euro after hitting to its highest level against the dollar since Nov. 9, 2016 was traded at $1.1215 on Wednesday. Meanwhile, the dollar surged to its highest in more than two weeks on Thursday after the Federal Reserve raised interest rates by 25 basis points to a target range of 1.00-1.25%.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (EUR/USD)
TIME
S3
S2
S1
MAGNET POINT
R1
R2
R3
WEEKLY
1.1025
1.1095
1.1146
1.1216
1.1267
1.1337
1.1388
EUR/USD
OPEN
HIGH
LOW
CLOSE
CHANGE
WEEKLY
1.11448
1.11837
1.11383
1.11638
0.17%
USD/JPY WEEKLY OVERVIEW

On Monday the dollar was lower at 110.21 yen. The dollar order which tracks against on major currencies touched 97.248 yen. The dollar index was last down 0.6% at 96.437 yen after touching its lowest since Nov 9 at 96.323 yen. However against the yen the dollar fell by more than 1% following the US retail sales and weaker US CPI data to touch 108.95 yen. On Thursday US dollar rose to a six-day high against the Japanese yen of 110.64 yen. On Friday Japanese yen remained near a two-week low against the dollar.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (USD/JPY)
TIME
S3
S2
S1
MAGNET POINT
R1
R2
R3
WEEKLY
107.63
108.36
109.35
110.08
111.07
111.80
112.79
USD/JPY
OPEN
HIGH
LOW
CLOSE
CHANGE
WEEKLY
110.33
111.42
108.83
111.50
1.06%

 

GOLD WEEKLY OVERVIEW

Gold dipped on Tuesday on the expected meeting of US Federal Reserve to plan future monetary tightening policy. Spot gold was down 0.01% at $1264.01 per ounce while US gold futures for August delivery dropped 0.2% to $1266.30. Gold dipped to a three-week low on Thursday against dollar. Spot gold fell 0.6% to $1253.09 per ounce whereas gold future for August fell 1.6% to $1.256 an ounce. The dollar index was up 0.5% after the US jobs data and hike in interest rates by US Federal Reserves.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (GOLD)
TIME
S3
S2
S1
MAGNET POINT
R1
R2
R3
WEEKLY
1227.0
1246.9
1259.1
1279.0
1291.2
1311.1
1323.3
USD/JPY
OPEN
HIGH
LOW
CLOSE
CHANGE
WEEKLY
1280.2
1298.8
1266.7
1271.4
0.68%
OIL WEEKLY OVERVIEW

Oil inched up less than 1% on Monday as US crude oil inventories declined and Saudi Arabia’s determination to cut of 300,000 barrels per day for some Asian countries whereas 35% cut for US in July 2017.

On Tuesday Brent crude was 28 cents higher at $48.57 a barrel. On Wednesday oil prices dipped more than 3% to their lowest in more than five weeks. On Thursday oil prices were down more than half a percent after hitting a six-month low eventually in present scenario the dollar rose to its highest on more than two weeks adding to the pressure on oil. As stronger dollar makes dominating, oil comes more expenses for buyer in other currencies. Brent crude touched a low of $46.70 a barrel on Thursday whereas US crude was down 21 cents at $44.52. Saudi Arab oil exports are expected to fell below 7 million barrels per day in this summer whereas US production is up 10% over the past year to 9.33 million barrels per day. Whereas OPEC countries including Russia decided to cut 1.8 million barrel per day for six months of the year and they also agreed to extendthis cut up to 2018.

TECHNICAL STUDY USING LUTFI MAGNET THEORY (Oil)
TIME
S3
S2
S1
MAGNET POINT
R1
R2
R3
WEEKLY
41.33
43.26
44.55
46.48
47.77
49.70
50.99
USD/JPY
OPEN
HIGH
LOW
CLOSE
CHANGE
WEEKLY
47.66
48.42
45.20
45.83
3.83%
ISMAR Financial – MUJEEB UR REHMAN KHAN – Director, Corporate Affairs

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.

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