GBP/USD found support at 23.6% Fibo

The GBP/USD pair retreated from the three and a half month high at 1.3612, but found support at the 23.6% Fibonacci retracement of latest November to January bullish run and currently is trading at 1.3525. Although the pair bounced form the daily low at 1.3491, remains down with 0.53% for the day. 

On the four hour time frame the price has crossed to below its 20-day SMA, which slowed down its bullish momentum, while the 100-day SMA is staying flat and is providing strong support at 1.34 handle. RSI is located around its mid-line and has started to lose directional strength. Stochastic and momentum and showing strong bearish slopes, but still hold above their mid-lines, which means that the buyers are not indicating interest.  

Nevertheless to switch into bullish mode again, the pair should first return to the daily high and then to conquer next resistance level at 1.3655. 

AUD/USD Neutral to bullish ahead of US macro data

During the early European session the AUD/USD pair retreated from the two and a half month high to test the 0.78 level. The corrective slide coundn’t last long and currently the pair is trading at 0.7837 with Australian dollar backed up by the confidence in the rising equities and the positive mood of commodities,with gold and silver aiming back to their recent tops.
Technically speaking the short term outlook for the pair remains neutral to bullish. On the four hour time frame the price is moving above all its moving averages, keeping course towards north. Stochastic has retreated from its mid-line and is showing strong bullish momentum. RSI is located within extreme overbought area, but is starting to lose directional strength.
Yesterday’s high at 0.7845 comes as first resistance and is case of successful taking, next target for the bulls is seen at 0.7890-0.7900. On the flip side we must be watchful around the psychological 0.7800 handle.
The upcoming US session is offering the ISM Manufacturing PMI figures for December and the most wanted FOMC minutes, having both macro events decisive for the AUD/USD pair.  

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Inspiring Benjamin Graham Quotes

“The underlying principles of sound investment should not alter from decade to decade, but the application of these principles must be adapted to significant changes in the financial mechanisms and climate.”

“The individual investor should act consistently as an investor and not as a speculator.”

“If you are shopping for common stocks, choose them the way you would buy groceries, not the way you would buy perfume.”

“Confronted with a challenge to distill the secret of sound investment into three words, we venture the motto, Margin of Safety.”

“In the short run, the market is a voting machine, but in the long run it is a weighing machine.”

“Buy not on optimism, but on arithmetic.”

“As in roulette, same is true of the stock trader, who will find that the expense of trading weights the dice heavily against him.”

Inspiring Peter Lynch Quotes

“If you’re prepared to invest in a company, then you ought to be able to explain why in simple language that a fifth grader could understand, and quickly enough so the fifth grader won’t get bored.”

“Behind every stock is a company. Find out what it’s doing.”

“Twenty years in this business convinces me that any normal person using the customary three percent of the brain can pick stocks just as well, if not better, than the average Wall Street expert.”

“Know what you own, and know why you own it.”

“If you don’t study any companies, you have the same success buying stocks as you do in a poker game if you bet without looking at your cards.”

“In the long run, it’s not just how much money you make that will determine your future prosperity. It’s how much of that money you put to work by saving it and investing it.”

“Go for a business that any idiot can run – because sooner or later, any idiot probably is going to run it.”

“Although it’s easy to forget sometimes, a share is not a lottery ticket… it’s part-ownership of a business.”

Inspiring Warren Buffett Quotes

“Price is what you pay. Value is what you get.”

“Rule No.1: Never lose money. Rule No.2: Never forget rule No.1.”

“Only buy something that you’d be perfectly happy to hold if the market shut down for 10 years.”

“We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.”

“Risk comes from not knowing what you’re doing.”

“We don’t have to be smarter than the rest. We have to be more disciplined than the rest.”

“Cash combined with courage in a time of crisis is priceless.”

“If you have more than 120 or 130 I.Q. points, you can afford to give the rest away. You don’t need extraordinary intelligence to succeed as an investor.”

“Unless you can watch your stock holding decline by 50% without becoming panic-stricken, you should not be in the stock market.”

“Wide diversification is only required when investors do not understand what they are doing.”

“If you are not willing to own a stock for 10 years, do not even think about owning it for 10 minutes.”

“Calling someone who trades actively in the market an investor is like calling someone who repeatedly engages in one-night stands a romantic.”

Merry Christmas!

Dear friends,

Christmas usually brings family and friends together.

Christmas helps us appreciate the love in our lives we can often take for granted. 

May the true meaning of the holiday season fill your heart and home with many blessings!

May this holiday season sparkle and shine!

May all of your wishes and dreams come true, and may you feel this happiness all year round.

Wish you a Merry Christmas!