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Analytics and Market news

Friday, 20 January 2012

American IT sector gives bullish signals

IC IFG CAPITAL, Alexey Sidorov

Thursday may be called as turn-day on domestic market. UX index confidently stepped out upstairs from the triangle. Herewith, trade activity on the market of applications increased in almost three times. Almost all shares of index basket were traded on the positive territory. Among liquid shares, securities of metals factories looked better than market with high volatility and having high potential for speculative game. Successful placements of French and Italian bonds were reasons for growth in Ukraine and the world. Also investors take positively the reports of American banks (Morgan Stanley and Bank of America).

Bulls dominated in the USA and Europe too. The USA statistics was majorly positive. Quantity of Americans who made unemployment applications for the first time decreased to 352 thousands against 384 expected. Quantity of new applications was the lowest since April 2008. Quantity of repeated applications was less than expected too. Quantity of housings, construction of which started in December 2011 in the USA disappointed investors, decreased by 4.1% during a month. Consumer price information showed inflation slow-down in December.

Reports of representatives of American IT-industry and American Express Company will affect the trade today. Quarter profits of Microsoft and Intel increased and slightly exceeded outlooks of analysts. IBM profits increased accordingly to the forecast. Google-profits increased but lower than expected.

By analyst of IC IFG CAPITAL Alexey Sidorov, the growth on global markets is connected to the close important events and is going on within the expectations of their positive result.

January 24-25 – FRS meeting (quantity mitigation)

January 29-30 – EU summit (elaboration of coordinated policy in budget sphere).

Neutral external background was formed on the opening.

Forward market analysis.  Put/Call Ratio decreased to extremely low figure and makes 0.32. The signal is bearish.

The Futures for UX – UX-3.12. Technical analysis.

On the 4-houred timeframe the price placed above the Parabolic indicator. Indicators formed the signs to buy. The trend is lateral.

On the quarter timeframe the price placed below the Parabolic indicator. Stochastic and MACD formed the signs to sell The trend is bullish.

Analytical department of IC IFG CAPITAL forecasts index and futures decrease by the results of the trade session, due to local reselling on the USA and European stocks. Avoidance of arrearage from developed markets will be restrained by the Friday factor as well. Liquidity traditionally drops this day.

IC IFG CAPITAL, LLC

Alexey Sidorov

ik.ifgcapital.com.ua
www.ifgcapital.com.ua



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