{"TechnicalAnalysis":{"title":"Intraday Technical Analysis 25 September","content":"

Daily Forex Market Preview, 25\/09\/2018<\/em><\/strong><\/h2>\r\nThe markets were seen trading quietly on Monday. Following the new tariffs<\/a> on China coming into effect since 24th<\/sup> the markets were seen to be a little spooked. This was followed through by the U.S. and China trade talks stalling for the moment.\r\n\r\nThe ECB President Mario Draghi was speaking at an economic event on Monday. He commented about the underlying inflation pressures picking up. This briefly sent the Euro higher on the day, although the common currency pulled back since.\r\n\r\n[shortcode-variables slug=\"act_tradeideas\"]\r\n\r\nThe German Ifo business confidence index for September was seen at 103.7. Although the index beat expectations of 103.2, it eased from August reading of 103.9.\r\n\r\nThe economic data today will start off with a speech by the Bank of Japan governor Kuroda. Later in the day, the German WPI data is due. The wholesale price index is forecast to rise 0.2% on the month after a flat print the month before.\r\n\r\nBank of England's MPC member, Vlieghe will be speaking later in the day. The NY trading session is expected to remain calm. The conference board's consumer confidence index is due later in the day.\r\n\r\nConsumer confidence is forecast to ease to 132.2 from 133.4 previously. After this event, Richmond Fed manufacturing will be reporting. Expectations call for the index to reduce to 22 from 24 previously.\r\n

EURUSD intraday analysis<\/strong><\/h2>\r\n\"eurusd\"<\/a>\r\n\r\nEURUSD (1.1738):<\/strong> The EURUSD currency pair rallied to post intraday highs before easing back. The currency pair closed with a doji pattern near the support level of 1.1745. We expect the currency pair to consolidate near the area of 1.1745 - 1.1718 region. If the support area fails, we expect the declines to test the lower support at 1.1651. The overall bias remains to the upside, but this could change on a break down below 1.1651.\r\n

GBPUSD intraday analysis<\/strong><\/h2>\r\n\"gbpusd\"<\/a>\r\n\r\nGBPUSD (1.3103):<\/strong> The British Pound was seen posting a modest bounce only to be held back by the 20-period EMA. Price action could be seen extending the declines back to the support at 1.3028. A reversal around this level could potentially keep the upside bias intact. However, this could change if the cable slips below this support. The previously held resistance level is likely to be the target on a reversal off the support level.\r\n

XAUUSD intraday analysis<\/strong><\/h2>\r\n\"xauusd\"<\/a>\r\n\r\nXAUUSD (1198.62):<\/strong> Gold prices were seen trading subdued. Price action managed to hold out near the support level offering a modest bounce in price action. Gold prices could be seen maintaining the sideways range within 1212.20 - 1196.00 region in the short term. A breakout from this level is required to establish the near-term direction. There is a risk of the precious metal failing at the support. This could push gold prices lower to 1186.15 region.\r\n\r\n[shortcode-variables slug=\"tradinggold\"]","date":"2018-09-25 11:11:21","link":"https:\/\/www.orbex.com\/blog\/?p=61056","image":"https:\/\/www.orbex.com\/blog\/wp-content\/uploads\/2018\/09\/shutterstock_1065527231-1.jpg","category_url":"https:\/\/www.orbex.com\/blog\/en\/category\/technical-analysis"},"FundamentalAnalysis":{"title":"Why Should You Care About The CAC 40?","content":"The CAC 40 is the benchmark stock market index of France, and one of the two major indices often described as the \"core\" of the Eurozone economy. The name comes from Cotation Assist\u00e9e en Continu (Continuous Assisted Quotation) with 40 companies listed and is tabulated by Euronext, the successor of the Paris Bourse from 2000 onwards.\r\n\r\n[shortcode-variables slug=\"act_tradeideas\"]\r\n

Characteristics of the index<\/strong><\/h2>\r\nThe CAC selects from and includes a broader range of companies than it's German counterpart, meaning it is more representative of the French economy as a whole - however, it still has a relatively small selection of companies in comparison to other indices, and as such is a better gauge for the performance of established, major corporations.\r\n\r\nFrance is the second largest economy in the Eurozone, and is highly dependent on trade within the group, which is mirrored by the constituents of the CAC; over two-thirds of their business activities are outside of France. Consequently, the CAC is a poor indicator of the performance of the French economy but is still sensitive to the overall economic situation in the broader Eurozone.\r\n\r\nAs a consequence of being the index with the most multinational corporations in Europe, it is also the index with the highest participation of foreign investors, accounting for around 45% of ownership. This means the CAC is uniquely sensitive to fluctuations in the Euro.\r\n\r\n\"cac-40\"\r\n

What's on the index<\/strong><\/h2>\r\nThe index is calculated as a weighted measure of the 40 most significant values of the 100 market caps on the Euronext Paris listing. The weighting system is based on free float market cap. Thus it privileges more actively traded stocks, making it more relevant for portfolio management and derivatives products.\r\n\r\nWith an emphasis on tradeability, components change more frequently than other indices; the elements are reviewed each quarter, and ranked according to market cap and share turnover in the last 12 months. Should a company have more than one class of shares on the exchange, only the more actively traded asset\u00a0class will be considered for the index.\r\n\r\nAn example of the unique criteria for inclusion in the index includes Airbus, which is a pan-European consortium, that although based in France, the majority of its owners and operations are outside of France.\r\n

Why it's important<\/strong><\/h2>\r\nThe CAC 40 is a list of bluechip companies but is more sensitive to the broader economy than the DAX<\/a>. While its components don't give much insight into the economic situation in France, it can provide some indication to the financial health of the Eurozone when read in conjunction with other indices, such as the DAX above, as well as the FTSE MIB and IBEX.\r\n\r\nBecause of the significant component of foreign investment, the CAC is also more sensitive to currency fluctuations; with weakness in the Euro seen\u00a0as supportive of the index, while a stronger Euro would impact multinational and export-oriented companies that make up the majority of the index. Broadly speaking, currency fluctuations might be seen to affect CAC performance, but not the other way around - a outperforming CAC is a symptom of higher expectations of the economy, which can also drive the currency; but it is not the index performance that is the driver (unlike, for example, the NYSE).\r\n\r\nFrance is also identified as part of the Eurozone \"core,\" and can benefit from safe-haven flows, but because of the broad exposure of the CAC components, it is not as sensitive as other indices.\r\n\r\n[shortcode-variables slug=\"confidenttotrade\"]","date":"2018-09-25 17:08:29","link":"https:\/\/www.orbex.com\/blog\/?p=61109","image":"https:\/\/www.orbex.com\/blog\/wp-content\/uploads\/2018\/09\/shutterstock_590008118-1.jpg","category_url":"https:\/\/www.orbex.com\/blog\/en\/category\/fundamental-analysis"},"Webinars":{"title":"\"Trading with the Stochastic\" Webinar","content":"Get ready for the \u201cTrading with the Stochastic\u201d<\/strong> webinar!\r\n\r\nIn this session, James will discuss the stochastic indicator which is one of the most popular Forex tools. During the session, you will learn what the indicator is as well as how to trade the oscillator, from basic methods through to advanced methods including how to combine the stochastic with other technical elements to identify trading opportunities. This session is perfect for traders of all skill levels including beginners new to technical trading.\r\n\r\nWhy should you attend?<\/strong><\/em>\r\n
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  • And so much more!<\/li>\r\n<\/ul>\r\nRegister now to attend our webinar. \u00a0\u201cTrading with the Stochastic\u201d webinar is coming!\r\n\r\n\r\n\r\nAttendance for this webinar is free, but registration is required!\r\n\r\n \r\n\r\n ","date":"2018-09-26","link":"https:\/\/www.orbex.com\/blog\/?p=60687","image":"https:\/\/www.orbex.com\/blog\/wp-content\/uploads\/2018\/09\/Blog-Semptermber-19-2018.png","category_url":"https:\/\/www.orbex.com\/blog\/en\/category\/forex-library\/webinars"}}