Overview: Movements of the NZD/USD pair were controversial as they took place in a narrow sideways channel; the market showed signs of instability. Amid the previous events, the price is still moving between the levels of 0.7169 and 0.7125. Also, it should be noted that the double top is seen at the price of 0.7169. […]
Since our previous analysis, gold has been trading downward. As I expected, the price tested the level of $1,261.08 in a high volume. The analysis from yesterday is still active and it is a good progress so far. I found a massive sell-off in a heavy volume in the background, which is a sign that […]
Good morning!Debenhams (LON:DEB) has put out an updated today. Not a small cap, but as regulars know, I keep a close eye on the retailing sector, as it’s my sector specialism. It performed very well over the key Xmas season, but has now slipped back – reporting LFL sales down slightly, at -0.2% for the last […]
Good morning!Debenhams (LON:DEB) has put out an updated today. Not a small cap, but as regulars know, I keep a close eye on the retailing sector, as it’s my sector specialism. It performed very well over the key Xmas season, but has now slipped back – reporting LFL sales down slightly, at -0.2% for the last 15 weeks. Sales are however still up over the last 41 weeks, at +0.7%.The big problem retailers have, is that costs are relentlessly rising, in particular the cumulative impact of several years’ rises in Living Wage will hurt. I suspect that the Government might be forced into deferring the increase in Living Wage at some point between now and 2020. It’s just going to hurt businesses too much, especially in the retail, hospitality, and care sectors.Note that Debenhams reports strong growth in online – up 9.1% over the last 41 weeks. So people are still spending, but a greater proportion is going online.Costs are rising at just over 2% p.a., so that’s the problem – if sales are not rising by a similar, or greater amount, then profit is likely to fall.Overall though, the update says profit is in…
Good morning!Debenhams (LON:DEB) has put out an updated today. Not a small cap, but as regulars know, I keep a close eye on the retailing sector, as it’s my sector specialism. It performed very well over the key Xmas season, but has now slipped back – reporting LFL sales down slightly, at -0.2% for the last […]
On December 7, a bullish breakout above 1.3450 (upper limit of the recent consolidation range) enhanced the bullish side of the market. Hence a bullish visit to the resistance at 1.4120 (Fibonacci Expansion 100%) occurred. Bullish persistence above 1.4150 enhanced the bullish side of the market towards 1.4650 (141.4% Fibonacci expansion) where an evident bearish […]
Bullish persistence above 0.6550 (depicted support) was necessary to keep the price moving towards higher bullish targets. In February and March, signs of bearish rejection (triple-top reversal pattern) were expressed around the price level of 0.6750 until April, when a bullish breakout above 0.6750 and 0.6860 was executed. Later on May 6, daily candlestick closure […]
Since January 2016, bullish persistence above 1.4500 was mandatory to maintain enough bullish strength in the market. However, the previous weekly candlesticks maintained their bearish persistence below the depicted weekly supply zone (below 1.4470), which allowed further bearish decline to occur. The prominent demand level located at 1.3845 (historical bottom that goes back to March […]
In January 2015, the EUR/USD pair moved below the major demand levels near 1.2100 where historical bottoms were previously set in July 2012 and June 2010. Hence, a long-term bearish target was projected towards 0.9450. In March 2015, the EUR/USD bears challenged the next monthly demand level around 1.0570, which had been previously reached in […]
Virgin Atlantic founder Richard Branson once said that “If you want to be a Millionaire, start with a billion dollars and launch a new airline.” It’s a view shared by legendary investor Warren Buffett. Back in 2013, the Sage of Omaha described the airline industry as “a death trap for investors”. Buffett made the comment […]
Virgin Atlantic founder Richard Branson once said that “If you want to be a Millionaire, start with a billion dollars and launch a new airline.”
It’s a view shared by legendary investor Warren Buffett. Back in 2013, the Sage of Omaha described the airline industry as “a death trap for investors”. Buffett made the comment in response to an AGM question about whether the trend towards consolidation in the airline industry had made it more attractive for investors.
In a 2002 interview with The Telegraph, Buffett expanded on this theme: “You’ve got huge fixed costs, you’ve got strong labor unions and you’ve got commodity pricing. That’s not a great recipe for success.”
In the UK stock market, there’s one company that epitomises these risks. British Airways owner International Consolidated Airlines has been a big player in the consolidation of European airlines. It now owns Aer Lingus and Iberia, in addition to the UK flag carrier.
IAG has also had to cope with a fair amount of industrial action in recent years. Staff at British Airways and then Iberia were not prepared to accept chief executive Willie Walsh’s revised employment terms without a fight.
For…
Softbank Group investors dismissed on Wednesday the unexpected exit of Nikesh Arora, the heir apparent of the company and embraced Masayoshi Son’s decision to extend his stay in the top position of the internet and telecoms firm. Arora was named as the succeeding chief executive by founder Son last year. Arora became a part of […]
The pound came closer to a five-month high against the dollar as bookmaker’s odds show the high possibility that Britons will support to remain in the European Union. Index of betting odds collated by Oddschecker indicated the possibility of a ‘Remain’ vote at 79%. The sterling rose 0.2% to $1.4676 in London at (6:41 a.m.) […]
Do data-intensive, high-frequency investor sentiment measurements usefully predict stock index performance? In his May 2016 paper entitled “Can Sentiment Indicators Signal Market Reversals?”, Arnaud Lagarde applies a random forest machine learning algorithm to test the power of Amareos sentiment indications to predict stock index reversals. Algorithm training data relates sentiment to known stock index return for the next 182 days (six More
Do data-intensive, high-frequency investor sentiment measurements usefully predict stock index performance? In his May 2016 paper entitled “Can Sentiment Indicators Signal Market Reversals?”, Arnaud Lagarde applies a random forest machine learning algorithm to test the power of Amareos sentiment indications to predict stock index reversals. Algorithm training data relates sentiment to known stock index return for the next 182 days (six […]
Global macro overview for 22/06/2016: The oil investors will watch for weekly U.S. crude inventory data releases by American Petroleum Institute at 08:30pm GMT. Market participants are expecting another draw in the stockpiles down to the level of -1500k from -933k a week ago. The reason for this might be investors’ worries about the possibility […]
Global macro overview for 22/06/2016: In her yesterday’s speech, the Fed Chairperson Janet Yellen said that there is ‘considerable uncertainty’ in the US growth outlook. The overall outlook is still positive for the US economy, but there are certain factors that might seriously influence this view. One of these factors is a possible Brexit. Moreover, […]
Spain’s acting Prime Minister Mariano Rajoy said the country’s economy could grow by more than 3 percent this year regardless of Britain’s vote result. That is above the official forecast of the government. But he reiterated that a win for anti-austerity party Unidos Podemos (Together We Can) could hurt Spain’s growth possibilities. The government had […]
Gold reached its lowest in two weeks prior to Britain’s EU referendum on June 23 and as Asian shares surged. Spot gold closed at $1,226 per ounce, down 0.2%, hitting $1,261.01, the weakest since June 9. Bullion slipped almost 2% Tuesday. US gold ended at $1,268.30 per ounce, down 0.3%. Surveys showed the United Kingdom […]
Industrial robot sales around the globe tumbled to 12% last year, affected by a sharp plunge in China, the world’s leading purchaser, according to the International Federation of Robotics. Official figures showed the number was less than the 29% surge logged in 2014 but was revised higher from its past projection. Robot sales expansion in […]
Turkey’s central bank on Wednesday said that a revenue drop in the tourism sector may hit external balances in the second half of the year. A day after it slashed its overnight lending rate by 50 basis points, the bank posted a presentation on its website saying it expects progress in the current account balance […]
Prime Minister Shinzo Abe vowed to amplify the Japanese economy as campaign for this year’s upper house election has commenced. The Liberal Democratic Party might lose its grip in the election although recent polls have supported the ruling party. Around half the seats in the 242-member parliament are to be decided in the July 10 […]
General overview for 22/06/2016: As anticipated yesterday, the wave (b) top looks to be in place, so now there is only wave (c) to the downside left to complete the overall structure. Currently, the price is trading just around the weekly pivot at the level of 117.71, so to confirm this count the market should […]
Strong UK Data Underlines Pound Stability Morning Report: 07.00 London• This morning, as Britain enters the final day of EU referendum campaigning, the pound is showing signs of stability. The GBP/USD is holding Monday’s gains, while the EUR/GBP holds at the lows. The move has been helped by yesterday’s better than expected public sector net borrowing […]
General overview for 22/06/2016: The growing bullish divergence between the price and momentum oscillator is indicating a possible sharp move upward, which supports the view about the upward trend renewal. The bottom for the wave c of the wave 2 seems to be in place, but the market might evolve into a more complex correction […]
The Dollar index made a double bottom around the 93.35 area and bounced towards 94. The trend remains bearish for the short term after the bearish reversal we saw last week. An important resistance and trend change level is at 94.70. Red line – resistance The UK referendum will certainly affect the price and rate […]
Gold continued to move lower towards $1,260 yesterday after breaking below the support of $1,270-75. The trend is bearish as we have a medium-term reversal signal from last week implying that more downside should be expected. However, I prefer to stay in cash and not short the precious metal. Gold is testing the 4-hour cloud […]
Financial markets have steadied overnight following a rally in stocks globally. GBPUSD remains the strongest currency of the week followed by commodity currencies which are boosted by oils price rise. The subsiding fear from Brexit, has helped risk appetite to return and as a result GOLD has dropped in value. UK is entering the final […]
Adobe System Inc.’s Creative Cloud package such as Photoshop boosted its second-quarter revenue, rising by 20.4 percent. Company revenue rose to $1.40 billion in the three months ended June 3, from $1.16 billion last year, rising for the ninth quarter in a row. Adobe said its net income jumped to $244.1 million, or 48 cents […]
After months of anticipation the Brexit referendum will finally take place this Thursday. Let’s look at how the markets are reacting At the end of Friday’s trading session, the pound increased against the U.S. dollar by 0.48% and was trading at $1.43602. On a weekly basis, the cable increased by 1.2%. […]
