U.S. Stocks End Flat, Hampered By Sector Technology

EU Analysis of Today - MT4 Chart

U.S. Stocks End Flat, Hampered By Sector Technology. U.S. stocks erased most losses to end the session flat in choppy trade on Wednesday, but gains were limited by weakness in the technology sector as well as investors were reluctant to enter the position following the recent rally that pushed the index to its highest in 5 - years. "I think (the market) has rallied by itself and it was exhausting. Need for consolidation, "said Kenny Polcari, directors O'Neil Securities. With no major economic reports on the calendar and the recent rally that pushed the Dow approached the level of 14.000 and the S & P 500 above the level of 1.500, traders and investors are looking for the next catalyst that can further trigger the market.

"Corporate earnings reports in this case may be the main focus of investors in search of a catalyst," said Ishaq Siddiqi, an analyst at ETX Capital.

Euro sales drop ahead of ECB Policy Meeting

The U.S. dollar fell versus the euro as traders increasingly cautious ahead of the European Central Bank meeting Thursday. The ECB is expected to keep interest rates unchanged. However, the focus of market players remained fixed to the press conference ECB President Mario Draghi, who is expected to avoid commenting about the high euro exchange rate at the moment and prefer to elevate the conversation about improving prospects in the region are still many problems to overcome. "The market continues to speculate about the statement and press conference Draghi ECB," said Camilla Sutton, chief currency strategist at Scotia Capital in Toronto. "The president Draghi will likely voiced caution and as a result the euro will weaken."

Oil Ends Flat, U.S. Oil Charge Stock Market

Oil futures ended almost unchanged on Wednesday after the U.S. government reported that oil inventories rose slightly less than expected, and distillate stocks fell for a second week. Institutions EIA reported that crude inventories rose 2.6 million barrels for the week ended 1 February. Before analysts surveyed by Platts expect to ride about 3 million barrels. Crude gains seem likely will continue in the coming week, said Tariq Zahir, analyst at Tyche Capital Advisors, and "with the oil inventories are well above average in the past five years, we feel oil remained under pressure in the short and medium term.

Turned Oil Gains After EIA Reports

Crude oil managed to cut the decline to then turn around thinly traded higher on Wednesday after a U.S. government report showed that crude supplies rose less than forecast. Report of the Energy Information Administration (EIA) showed crude supplies increased 2.6 million barrels during last week, which is lower than the estimated increase of 3 million barrels.

"Previously, crude oil prices had dropped sharply following the market concerns about the fact that U.S. oil reserves continue to roost near 30-year highs," said Matthew Parry, senior oil market analyst at the International Energy Agency (IEA).

Overall, some analysts see if the oil price is still threatened by several bearish factors. Not only by the appreciation of the U.S. dollar, 'black gold' is also potentially depressed again by any news about the continuing negotiations between the west and the nuclear program of Iran, as well as announcements about delays Seaway pipeline in full operation until the 4th quarter of this year. Currently, crude oil for March delivery traded at $ 96.70 per barrel, or about 0.05% above its opening day Wednesday.

High End Gold Over depressed equity

Gold futures closed higher on Wednesday, getting a boost from a weaker U.S. equities as investors looked ahead to the European Central Bank's policy meeting this week. Gold moved higher "ahead of the ECB's monthly meeting on Thursday and a press conference (ECB President Mario Draghi), which may indicate further insights on the future ECB policy, says Jeffrey Wright, director at Global Hunter Securities.

Boehner slams Obama's plan "Delay Budget Cuts"

House Speaker John Boehner on Wednesday blasted President Barack Obama's plan to delay the budget cuts, he said that it should be replaced with a different budget cuts should not include a tax increase. "Tax issues have been resolved," said Boehner told reporters at a press conference in Capitol Hill. Obama on Tuesday urged Congress to delay the cuts amounted to $ 85 billion, which will begin on March 1, he said they should replace with other cuts and tax increases.

Overview of Forex Trading Today: EURO and USD same have a risk

Overview of Forex Trading Today: EURO and USD same have a risk - Last week was tragic weekend for the single currency Euro. Because currencies are going to rise memorandum (Rally) in a row in the last 4 weeks. Strengthening this turns out to end the week were triggered by gloomy economic future of Europe.

What causes the grim future of Europe? Last week ECB President Mario Draghi issued a statement that surprised many on the future of the European economy. The ECB lowered its growth forecast drastically after all this time applying a 0.75% interest rate is the lowest rate for European history. Projected GDP (Gross Domestic Product) declined 0.9% and will only flourish as much as 0.3% next year where it will lead to economic contraction. Draghi said in a speech that the European economy will weaken throughout 2013 and into 2013 as sovereign debt problems are still stuck. ECB expected strengthening of the end of 2013 will occur gradually along with the increasing demand for the global economy. European economic slowdown has led to speculation of impending rate cuts is now the lowest it has been during the history.

Meanwhile, a day after cutting its growth forecast by the ECB, the Bundesbank also issued a forecast that is no less bad for the country of Germany. Germany as the country with the strongest economy in Europe greatly affect the performance of the European currency. Germany has been the key to the economic development of Europe since the crisis began first times, but it looks to be a shield German resistance to other European countries looks begin to fade. If the "champion" of Europe is projected to weaken it will greatly affect the performance of all members of the Euro. Economic Data Industrial Orders and Output in Germany have fallen backwards a few months marked by the fall of export performance. Bundesbank stated that Germany is likely to enter a recession that is likely to occur in the last kwarta 2012 and continued into the first quarter of 2013. Bundesbank also lowered its economic growth the previous year's 1.0% to 0.7% in 2013 and a previous projection of 1.6% to 0.4%. Meanwhile, inflation is expected to fall from 2.1% to 2.0% this year and 1.6% in 2013.

Meanwhile, how is the country of Uncle Sam, the United States? The U.S. dollar got a fresh breath after data NFP (Non Farm Payroll) and the unemployment rate improved this month. Data previously NFP increased 138,000 to 146,000 this month. Un-employments level decreased from 7.9% to 7.7%. This data is really a trigger for the U.S. dollar to skyrocket upwards at the close of trading last week. The U.S. dollar index which last week reached the lowest figure on 79.56 fly to the highest weekly figure 80.65.

But if the United States is in the improvement in the economy. Some have noticed that the U.S. economy will not be as fast and easy as it is out of the current crisis. Still remember Fiscal Cliff or gap? Read more about it here or in the Fiscal Cliff. Until now, both sides between President Obama's administration and Republicans have yet to find the midpoint that can answer the challenge Fiscal Cliff. Meanwhile, if we count the end of December 2012 will come in 22 days then the U.S. will re-run the race of time provide the best solution for all parties and the American people. Some authorities opine that a solution will be reached over finding the midpoint between the two camps than providing a solution that really appropriate and necessary. From the data rate of NFP and unemployment rate in November alone several parties sound pessimistic in assessing the figures released as the numbers are not real. Peter Schiff, CEO and Chief Global Streatigs at Euro Pacific Capital gave the opinion that the U.S. government has set a low unemployment rate by convincing unemployment to employment benefits using them rather than encourage them to work.

Next week will be marked by some important economic data from various countries as reviewed below :

European Market :
- Industrial Production Italy and France.
- Sentix Investor Confidence.
- German ZEW Economic Sentiment.
- Euro ZEW Sentiment.
- Euro Industrial Priduction.
- EU Economic Summit.
- Eurogroup Meeting.
- Euro Manufacturing PMI
- Euro Services PMI.
- Euro CPI and Core CPI.

U.S. Market :
- Data Trade Balance.
- 10-yr Bond Auction.
- Data Core Retail Sales and Retail Sales.
- PPI data.
- Unemployment Claim.
- Core CPI and CPI.
- Manufacturing PMI.
- Industrial Production.
- FOMC Statement.
- Data Interest Rate
- FOMC Economic Projections.
- Federal Budget Balance.
- FOMC Press Conference.

Market Australia:
- Home Loans.
- NAB Business Confidence.
- Westpac Consumer Sentiment.
- Speech of the Governor of the RBA.
- Data Inflation Expectation.

UK Market:
- Claimant Count Change.
- Unemployment Claim.
- Speech MPC Member.
- CBI Industrial Order Expectations.

EURUSD

EURUSD rally to end long after the fourth week running. EURUSD could skyrocket to the highest value at 1.3125 and price should be much touched at low price at 1.2877 in late trading last week. Cutting economic projections by ECB and negative currents of the Bundesbank has made the European economy became more grim.

Our position on EURUSD next week is Neutral. Last week EURUSD was wracked by deep drop back to levels below 1.3000. But the euro's decline technically still in the corridor correction after several weeks of rallies. EURUSD is likely to move sideways for the next week. The price range would move between support the range of 1.2830 to 1.3000 resistance psychological in that area.