Gold, Oil & Indices (Equity & Bond Indices)

Place a stop buy and a stop sell order in proper distance to last price that works well in such cases of fundamentals and in case of a fake break is better than an OCO order

hi haitham, i think markets are prob looking at next week on weather the fed will signal more qe(ashraf mentioned that earlier in the week)....which if they do decide more printing of money is nesses the expect gold to rocket up pass 1300,also s&p i would imagine will smash through 1130,risk appitite to be on, usd will prob crash..but i think if no mention of qe then i think gold will collapse prob revisit 1170 or under,might even make a new low under 1157.50(which was the case each time set new high---1253droped to 1168---1264droped to 1157.75)) now we have new high 1282...but again im waiting to see what the fed does...also there are more catlyst to be factored in like eurozones data,which gold has been trading off as well,but lately there data hasn;t been to bad to warrent more qe from them i think..also if no qe i think s&p will fall cause if no printing of money then they must see signs of recovery that means at some point talk of rate increase will resurface,then no more cheap money..so charts aside i think its more fundmental story over tech story..so keep a ear open for more or no more qe talk..i hope this helps an i didn;t butcher it have a good weekend:)

gold \\Support: - 1260.00, 1248.75, 1232.87(main). Break of the latter will give 1227.25, where a correction is possible. Then 1220.78, where a correction is also possible. Be there a strong impulse, we would see 1213.00. Continuation will bring 12406.37.

Resistance: - 1276.87 and 1285.31(main), where a correction may happen. Break would bring 1291.94, where a correction may also happen. Then follows 12302.18. Be there a strong impulse, wed see 1315.22. Continuation would bring 1326.74.

BEAT WATCH





Signs That Fear May Make A Comeback Soon

By KEN ODELUGA
Of DOW JONES NEWSWIRES


LONDON -- After the heady days at the height of summer, volatility, like the weather, has cooled off sharply, leading some market watchers to suggest the time is ripe for a rebound in risk aversion indicators.

Judging by the recent trajectory of the Chicago Board of Exchange's CBOE Volatility Index, or VIX, also known as the "fear index," one could say the "fears' that it measures have fallen markedly in the space of the last four months.

In fact, given that VIX mathematically expresses market expectations of near-term volatility conveyed by S&P 500 stock index option prices, it's clear that at the very least, equity market players have become more sanguine of late.

The VIX's 52-week high is 48.20, which it hit May 21, 2010. Since May, VIX has recovered to its current level of just over 22.

Since the start of the summer, marked roughly by deep concerns about the fiscal issues in "peripheral" European countries, such as Greece, several developments have served to calm the risk picture somewhat.

In July, most major European banks were judged to have passed "stress tests." Even amid doubts about the tests' validity, the calming effect on markets was real enough.

And there has been a steady series of reasonably well taken-up bond auctions in Greece, Spain, Portugal and elsewhere, including Thursday's sale of EUR4 billion worth of Spanish ultra-long government bonds, the maximum Spain's treasury had intended to sell.

More recently, noted Manuel Oliveri, currency strategist at UBS, "our risk index has moved back into negative territory (i.e. positive on risk), suggesting that risk aversion has decreased markedly during the last few weeks." He cited data showing an improvement in U.S. labor market conditions as signalled by the latest monthly payrolls, decreasing "expectations for a double-dip recession."

However, he cautioned that signs this week could be taken as a warning. "The BOJ's stance on intervention policy [and the BOJ's actual intervention this week] supported some of the observed market behavior. Stocks and crude oil, however, have failed to benefit strongly from the renewed increase in easing expectations....this may provide a first warning signal to risk assets for the weeks to come, and speaks against becoming to bullish on risk sentiment."

Oliveri notes, under such conditions, the USD/CAD pair "would be one way to play a return of risk aversion. USD/CAD indeed keeps a strong correlation to risk sentiment and hence USD/CAD upside would be the result of a renewed rise of risk aversion."

At 1400 GMT, USD/CAD traded at 1.0263.

---By Ken Odeluga, Dow Jones Newswires; +44-20-7842-9297; ken.odeluga@dowjones.com