Economic Events: (GMT)

Just a heads up since gold is volatile and will react to most economic indicators we will begin to post the daily calendar with events that could effect the price of gold. The gold price is sensitive to a number of scheduled U.S. and Euro area macroeconomic announcements-including retail sales, non-farm payrolls, and inflation. Gold's high sensitivity to real interest rates and its unique role as a safe-haven and store of value typically leads to a counter-cyclical reaction to surprise news, in contrast to their commodities. It also shows a particularly high sensitivity to negative surprises that might lead financial investors to become more risk averse.  

These results have a number of implications. To reduce the uncertainty of the return on gold transactions, traders may wish to time their orders flow so as to avoid the release of information that has been shown to affect prices. For longer-term market participants, these results provide confirmation of the pro-cyclical bias of many commodities and gold's role as a safe-haven during periods of economic uncertainty.

06:30     EUR        French CPI (MoM)                                                           0.3%                      0.4%

The French Consumer Price Index (CPI) measures the changes in the price of goods and services purchased by consumers.

A higher than expected reading should be taken as positive/bullish for the EUR, while a lower than expected reading should be taken as negative/bearish for the EUR.                           

08:00     EUR        French Manufacturing PMI                                         48.7                        48.5                       

08:30     EUR       German Manufacturing PMI                                      51.5                        51.0                       

09:00     EUR        Manufacturing PMI                                                       49.4                        48.8

Manufacturing Purchasing Managers' Index (PMI) measures the activity level of purchasing managers in the manufacturing sector. A reading above 50 indicates expansion in the sector; below indicates contraction. Traders watch these surveys closely as purchasing managers usually have early access to data about their company's performance, which can be a leading indicator of overall economic performance.

A higher than expected reading should be taken as positive/bullish for the EUR, while a lower than expected reading should be taken as negative/bearish for the EUR.                           

 09:30    GBP      MPC Meeting Minutes                 

The Monetary Policy Meeting Minutes are a detailed record of the Bank of England's policy setting meeting, containing in-depth insights into the economic conditions that influenced the decision on where to set interest rates. The breakdown of the MPC members' interest rate votes tends to be the most important part of the minutes.      

10:00     EUR       Industrial New Orders (MoM)                                   0.6%                      -1.2%    

Industrial New Orders measures the change in the total value of new purchase orders placed with manufacturers. It is a leading indicator of production.

A higher than expected reading should be taken as positive/bullish for the EUR, while a lower than expected reading should be taken as negative/bearish for the EUR.            

15:00     USD                      Existing Home Sales                                                     4.67M                     4.61M  

Existing Home Sales measures the change in the annualized number of existing residential buildings that were sold during the previous month. This report helps to gauge the strength of the U.S. housing market and is a key indicator of overall economic strength.

A higher than expected reading should be taken as positive/bullish for the USD, while a lower than expected reading should be taken as negative/bearish for the USD.

Analysis and Recommendations:

Gold advanced $26, or 1.5%, to $1,751.90 an ounce on the Comex division of the New York Mercantile Exchange. It had earlier traded as high as $1,752.50 an ounce. U.S. markets were closed Monday for the Presidents Day holiday, and Tuesday was the first floor trading day to react to the Greek news.

February 21, 2012 Economic Reports actual v forecast

NZD

Inflation Expectations (QoQ) 

2.5%

 
 
 

2.8%

 
 

AUD

RBA Governor Stevens Speaks 

 
 
 
 
 
 
 

JPY

All Industries Activity Index (MoM) 

1.3%

 

1.5%

 

-1.0%

 
 

CHF

Trade Balance 

1.55B

 

2.50B

 

2.01B

 
 

GBP

Public Sector Net Borrowing 

-10.7B

 

-9.1B

 

11.1B

 
 

TRY

Turkish Interest Rate Decision 

5.75%

 

5.75%

 

5.75%

 
 

CAD

Core Retail Sales (MoM) 

0.0%

 

0.2%

 

0.4%

 
 

CAD

Retail Sales (MoM) 

-0.2%

 

-0.2%

 

0.4%

 
 

CAD

Wholesale Sales (MoM) 

0.9%

 

0.5%

 

-0.3%

 
 

USD

Chicago Fed National Activity 

0.22

 

0.22

 

0.54

 
 

EUR

Consumer Confidence 

-20

 

-20

 

-21

 
 

USD

2-Year Note Auction 

 
 
 
 

0.250%

 
 

ARS

Argentinian Unemployment Rate 

 
 

7.3%

 

7.2%

 
 

Gold Pivot Points (Time Frame: 1 Day)

 

Name S3 S2 S1 Pivot R1 R2 R3

Classic
1712.27
1721.48
1739.07
1748.28
1765.87
1775.08
1792.67

Fibonacci
1721.48
1731.72
1738.05
1748.28
1758.52
1764.85
1775.08

Camarilla
1749.28
1751.74
1754.19
1748.28
1759.11
1761.56
1764.02

Woodie's
-
1723.58
1743.25
1750.38
1770.05
1777.18
-

DeMark's
-
-
1770.48
1750.59
1743.68
-
-