Market gaps stock market news

Stock market gaps in price are great because they are both the action of a strong supply and demand
imbalance and the picture of new trends, greed, and fear buy buyers and sellers can be spotted when
you know how to trade them. Not every gap sends the same message or represents the same opportunity so traders need to structure them into an understandable check list or trading plan. Once this is done, you can use this information to spot the price action of very novice buying or selling and be there to take the low risk, high profit, and high probability trade. 

Market gaps

USD/JPY Daily

 USD/JPY  Daily
12::55 GMT - The USD's traded sideways for the London session but stillretains the steep am. fall from 101.70~/ Thur's pivot; 101.45         resistance caps and keeps us facing  lower s/t; the 101.40-70 range is open for a fill-in trade higher IF the USD picks uplater. Decline off the 102.00 pivot looks headed for 101~/ the YTD

USD/CHF  Daily
13::35GMT - Earlier recovery failed just ahead of the 0.8940/45 res.   and prices have come under pressure again. Despite the recent action, we think  the 0.8906 recent low may hold awhile longer. In due course, though, we should see a break with next target at 0.8895. Initial res. is at 0.8938/45.N.I.

 GBP/JPY  Daily
13::35 GMT - Slow trade back into this pm. extends the week's decline; GBP edging fresh lows now but still (just) holding above 172.50/ the  mid-Jun separation (which remains bullish positioning.)

USD/CHF Daily

 USD/CHF  Daily
13::25GMT - Mkt. has dropped to the 0.8906/9 lows which are holding so far. Bounce res. is at 0.8930 and, while prices hold below here, we   think further decline will follow. Next downside targets are at 0.895 then 0.8860. The higher res. is at 0.8945.N.I.

The dollar fell against major currencies Wednesday after the third and final revision for gross domestic product arrived far lower than economists expected, suggesting the U.S. economy's recovery has further to go before the Federal Reserve will raise interest rates.
The greenback dropped versus the yen to JPY101.68 from JPY101.92 before the number's release, now down 0.3%. Meanwhile, the euro jumped to as high as $1.3652 from $1.3616, up 0.3%.
The Commerce Department lowered the rate of GDP contraction for the first quarter to 2.9%, marking the sharpest pullback since the recession ended five years ago. Analysts had expected a contraction rate of 2%, and the actual rate was much lower than the second revision of 1%.

The Japanese yen Gold 6/23

The Japanese yen is firm on Monday, as the pair trades in the low-101 range. On the weekend, BOJ Governor Haruhiko Kuroda said that that the central bank’s monetary stance had led to economic growth but inflation remained below target. Japanese Flash Manufacturing PMI improved in May, pushing above the 50 line which separates between expansion and contraction. In the US, today’s highlight is Existing Home Sales.
Speaking at the International Economic Association in Jordan on Sunday, BOJ Governor Kuroda sounded upbeat about the Bank’s quantitative and qualitative easing policy, introduced in April 2013. Kuroda noted that growth had improved and deflation curbed, but that inflation was around 1%, well short of the target of 2%. The BOJ had hoped to reach its inflation target by 2015, but Kuroda acknowledged that this goal would take longer, and BOJ would continue its current stance of large-scale monetary easing.
Gold is stable on Monday, following sharp gains last week, when the metal gained about 2.8% against the dollar. The metal remains above the $1300 level as the fighting in Iraq continues. On the release front, today’s highlight is US Existing Home Sales, a key event.
The fighting in Iraq continues, as militants linked to al-Qaeda have overrun the north of the country. The insurgents are only about 60 kilometers from the capital of Baghdad, and the situation has quickly escalated into a major crisis for both the Iraqi and US governments. Over the weekend, US President Barack Obama said the crisis could spread to other countries in the region. The turmoil in Iraq, a large oil producer, has pushed the price of gold above the $1300 level, as the metal is considered a hedge during periods of geopolitical instability.

Gold prices Crude oil

Gold prices not straying far from unchanged levels in early U.S. trading Friday. Prices did poke to a nine-week high overnight. Traders are taking a breather after Thursday price action that saw gold gain nearly $50.00 and silver add over $1.00 in value. It been a very good week for the gold and silver market bulls, and they still have technical momentum on their side. August Comex gold was last down $1.00 at $1,313.00 an ounce. Spot gold was last quoted down $7.40 at $1,313.50. July Comex silver last traded up $0.107 at $20.76 an ounce.
Crude oil prices have rallied sharply recently on worries about Iraqi crude oil exports being reduced, and on concerns the violence in Iraq could spread to other Arab nations. The U.S. dollar index hit a four-week low Thursday in the wake of dovishly construed U.S. monetary policy comments from Fed Chair Janet Yellen on Wednesday. These two key outside markets are in a near-term bullish posture for the precious metals and other raw commodity markets.

GBP/USD 6/20

GBP/USD is showing little activity  as the pair continues to trade in the mid-1.70 range late in the European session. On the release front, British Public Sector Net Borrowing hit a six-month high, as the deficit swelled in May. In the US, markets are open on Friday, but there are no US economic releases on the calendar, so we can expect thin trading of GBP/USD. The British pound pushed above the key 1.70 level on Thursday, gaining on strong UK manufacturing numbers. CBI Industrial Order Expectations jumped to 11 points, easily beating the forecast of 3 points. It was the indicator’s best showing since last November, and points to more robust UK manufacturing sector. Retail Sales, the primary gauge of consumer spending, was unable to keep pace. The indicator came in with a weak reading of -0.5%, its first decline since January. The pound managed to shrug off this poor reading since it matched the forecast.

Dollar Index Trading

The dollar index is much like any stock market index and is conceived from a group of currencies valued against the dollar itself in a price weighted format. The forex currencies involved are the Euro,  British Pound,  Japanese Yen, Swedish Krona, Canadian Dollar and the Swiss Franc. However there were far more currencies in the European Union before the establishment of the Euro single currency, the Euro carries the greatest price weighting in the dollar index which is understood by traders, which is 57.6% of the entire index with 13.6% to the Yen, 11.9% to the Pound, 9.1% to the Canadian Dollar, 4.2 to the Krona and 3.6% to the Swiss Franc.
The contract is called  the Dollar Index Futures and the trading symbol is DX. The contract itself trades on ICE exchange Intercontinental Exchange and is valued at any given time as shown: $1000 x The Index Value.  This would be an example if the DX was trading at 80.89, this would make the value of 1 contract to be $80,809. The margin required to trade this product on ICE, is set by the exchange itself and at the present time $880 per contract, this will give traders some leverage to trade with.  A single tick up or down is worth $5.00 profit or loss.

Dollar Index Trading