Newsletter Asian Session 08/11/2007

ASIAN SESSION
A) CALENDAR

-07/11/2007
-GMT 23:50 JPN Machine orders (m/m), (Sep) EST -1.8% PREVIOUS -7.7%
-GMT 23:50 JPN Machine orders (y/y), (Sep) EST -0.9% PREVIOUS -2.6%
Definition
Machine Orders Data (also known as Machine Tool Order Data) is a figure issued by Japan Machine Tool Builders Association (JMTBA) every month. It serves as one indicator of the Japanese economy. In the forex market, the release of such data is often followed by sharp change in currency exchange rate.

-GMT 23:50 JPN M2+CDs (m/m), (Oct) EST 0.1% PREVIOUS 0.2%
-GMT 23:50 JPN M2+CDs (y/y), (Oct) EST 1.7% PREVIOUS 1.7%
Definition
Money Supply
M1 + Quasi-Money (Time Deposits etc.) + CDs
[ Financial institutions surveyed for Deposit Money, Quasi-Money, and CDs ]
Domestically Licensed Banks (including Foreign Trust Banks), Foreign Banks in Japan, Shinkin Central Bank, Shinkin Banks, Norinchukin Bank and Shoko Chukin Bank

-GMT 23:50 JPN Broad liquidity (m/m), (Oct) EST 0.2% PREVIOUS 0.4%
-GMT 23:50 JPN Broad liquidity (y/y), (Oct) EST 4.0% PREVIOUS 4.1%

-GMT 23:50 JPN Bank lending (m/m), (Oct) EST -0.2% PREVIOUS 0.3%
-GMT 23:50 JPN Bank lending (y/y), (Oct) EST 0.7% PREVIOUS 0.6%.

B) SUPPORT-RESISTANCE
EURO/USD USD/JPY GBP/USD
R3 1.4730 113.30 2.1110
R2 1.4705 113.15 2.1070
R1 1.4685 112.90 2.1035
S1 1.4620 112.35 2.0945
S2 1.4595 112.00 2.0930
S3 1.4550 111.85 2.0900

C) WATCH
-Interest Rates

D) TRADING TIPS
Black candles show that the closing price is lower than the opening.
A Long black candle (no shadows) Black marubozu Very Bearish
B Long black candle Very Bearish
C Long black candle (upper shadow) Black closing bozu Bearish
D Black upper shadow Bearish
E Black lower shadow Stable to bearish
F Short black candle Stable to bearish

EUROPEAN SESSION

A) CALENDAR

-GMT 07:00 GER Trade balance (Sep) EST 16.2B PREVIOUS 14.1B
Definition
Balance of trade figures are the sum of the money gained by a given economy by selling exports, minus the cost of buying imports. They form part of the balance of payments, which also includes other transactions such as international investment. The figures are usually split into visible and invisible balance figures. The visible balance represents the physical goods, and invisible represents other forms of trade, e.g. the service economy.
A positive balance of trade is known as a trade surplus and consists of exporting more (in financial capital terms) than one imports. A negative balance of trade is known as a trade deficit and consists of importing more than one exports. Neither is necessarily dangerous in modern economies, although large trade surpluses or trade deficits may sometimes be a sign of other economic problems.
If the balance of trade is positive, then the economy has received more money than it has spent. This may appear to be a good thing but may not always be so.

-GMT 12:00 UK BOE Rate Decision EST 5.75% PREVIOUS 5.75%

-GMT 12:45 EU ECB Rate Decision EST 4.00% PREVIOUS 4.00%

-GMT 13:30 EU Trichet Speaks at ECB Monthly News Conf.

B) SUPPORT-RESISTANCE
EURO/USD USD/JPY GBP/USD
R3 1.4730 113.65 2.1110
R2 1.4705 113.30 2.1070
R1 1.4670 113.00 2.1035
S1 1.4595 112.35 2.0985
S2 1.4550 112.00 2.0945
S3 1.4500 111.85 2.0900

C) WATCH
-Interest Rates
-GMT 12:00 UK BOE Rate Decision
-GMT 12:45 EU ECB Rate Decision
-GMT 13:30 EU Trichet Speaks at ECB Monthly News Conf.

D) TRADING TIPS
Black candles show that the closing price is lower than the opening.
A Long black candle (no shadows) Black marubozu Very Bearish
B Long black candle Very Bearish
C Long black candle (upper shadow) Black closing bozu Bearish
D Black upper shadow Bearish
E Black lower shadow Stable to bearish
F Short black candle Stable to bearish