The forecast for the week of April 25 - April 29
Gold XAU / USD forecast for the week
Within a week to be expected of a rising trend in precious metals. The main driver of growth will decline in the US currency quotations that reflect positively on the XAU / USD value. On Wednesday April 27 the US Federal Reserve will announce the outcome of its meeting on monetary policy, where you can expect a repetition of comments that were made at the meeting of 16 March.
Guide FED nov repeat that the monetary authorities are ready to raise interest rates at its next meeting either, as soon as received strong macroeconomic releases and reduced external risks. The yield on 2-year Treasury note, which is closely correlated with the Fed's discount rate, since the last session fell by 4 basis points, indicating a lack of probability of tightening monetary policy on Wednesday. "Softness" Fed denies the dollar strong trump card that will support the demand for the yellow metal as its price is denominated in US currency.
Forex. Trading recommendations for gold for a week : Traders is the new week to buy gold Buy at lower prices to the levels of 1225/1203 and the purpose at the level of 1255.
Brent oil forecast for the week 25-29.04.2016
The upward trend of oil is coming to an end, but there are three reasons for the growth of quotations to wait for a week.
First , despite the negative outcome of the summit Petroleum Exporting Countries in Doha, "black gold" has finished the trading week in the "green zone", which indicates the presence of a large number of buyers. Do these investors so deep pockets of money that they are easy to redeem subsidence caused on the negative news background. In this regard, it is dangerous enough to go against this trend - the most wise to join the trend.
Second , America on Thursday to publish preliminary data on GDP for the first quarter and in view of the negative dynamics of leading indicators can be expected to yield data slightly worse than the consensus forecast. As noted earlier, the US Federal Reserve on Wednesday will not raise interest rates and taking into account these factors can be expected to decline in American currency, that have a positive impact on the cost of oil.
Third , oil service company Baker Hughes on Friday reported about reducing the number of drilling rigs in the United States by 8 units to the level of 343. In the last 12 months, the number of drilling in the United States fell by more than 2 times.
Forex. Trading recommendations for oil for the week : Traders should buy Black Gold Buy's reduction of quotations to 44.30 / 43.00 and 46.90 on the take.
S & P500 Index forecast for the week 25-29.04.2016
On the new week Highlights: decision of the US Federal Reserve at the discount rate, the release of GDP for the first quarter, as well as the quarterly reports of such giants as Apple, Facebook, and Exxon Mobil. So, let's begin. Meeting FED can have a positive impact on the stock market, as low interest rates contributes to the attractiveness of investments in equity securities. The report on GDP, in contrast, could put pressure on stock prices. Leading indicators ISM manufacturing and service sectors, which are closely correlated with the dynamics of GDP in the first quarter showed a decline. It is necessary to highlight the strong decline in the service sector - this sector is the basis of the US economy. The volume of industrial production, which is cyclical coincident indicator, in the first quarter decreased by 0.6%, which clearly confirms the negative trend. Since the S & P500 is only 2% of historic highs, investors may find current levels overvalued and start to take profits on long positions. Corporate reports may indicate a decrease Apple and Exxon Mobil's net profit against a background of declining demand in emerging markets, as well as lower energy prices. Thus, two of the three factors are negative and therefore we can conclude the feasibility of opening long positions. However, the financial markets are now seeing the euphoria and investors are actively increasing their "Long" contrary to common sense.
Forex. Trading recommendations for SP500 week : According to the index, investors should wait for the flat within the range of 2035- 2140.