SGX Singapore Closing Market Update

The Straits Times Index on Tuesday first bounced up 20 points in response to Wall Street's Monday rally but as the day wore on, traders either sold into strength or went short, resulting in the index finishing with a net loss of 6.09 points at 3,369.95.

Over in Hong Kong, the Hang Seng Index gave up triple-digit gains to close in the red. The speculation was that the US market's Monday rebound would prove temporary and that it would come under renewed pressure on Tuesday. The US Federal Reserve's Open Markets Committee meets on Tuesday and Wednesday to decide on interest rates.

Whatever the case, turnover here at 1.4 billion units worth S$1.2 billion was an improvement on Monday's S$901 million and excluding warrants, the advance-decline score was 177-288.

SGX IForex Recommendations

TRADING TIPS :

The pound rose against the U.S. dollar on Monday, as investors locked in gains from the greenback’s recent rally to nearly 5-year highs against the U.K. currency, although demand for sterling remained pressured by Bank of England Governor Mark Carney’s comments on Friday. GBP/USD hit 1.4798 during European morning trade, the session high; the pair subsequently consolidated at 1.4783, adding 0.25%. Cable was likely to find support at1.4696, Friday’s low and a 20-month low and resistance at 1.4896, the high of March 13. The dollar strengthened broadly on Friday after downbeat U.S. data dampened optimism over the strength of the economy, weighing on market sentiment.The U.S. Department of Labor reported that producer prices fell 0.5% last month, confounding expectations for a 0.3% gain, after a 0.8% decline in January.

INTRADAY OUTLOOK

Support: 1.4700

Resistance: 1.4910

RECOMMENDATION:

1. Buy GBP/USD Above 1.4850-TG: 1.4870/1.4900 SL 1.4820

2. Sell GBP/USD Below 1.4730-TG: 1.4710/1.4680 SL 1.4760

INTRADAY OUTLOOK

Support: 1.0400

Resistance: 1.0600

RECOMMENDATION:

1. Buy EUR/USD Above 1.0580-TG: 1.0600/1.0630 SL 1.0550

2. Sell EUR/USD Below 1.0490-TG: 1.0470/1.0440 SL 1.0520

SGX Comex Recommendations

INTERNATIONAL COMMODITY NEWS :
Gold prices were higher to steady in early Asia on Tuesday with the focus on this week’s Federal Reserve meeting and overall prospects for physical demand from China and India. On the Comex division of the New York Mercantile Exchange, gold prices for April delivery rose 0.09% to $1,154.20 per troy ounce. Overnight, gold future  prices remained relatively stable on Monday, amid a slight rally by the euro after the currency hit record-lows last week at week’s end as metal traders await the Federal Open Market Committee’s (FOMC) meeting on Wednesday. The Fed could provide details on when it plans to raise interest rates. The U.S. central bank can remove a reference to remaining patient, which typically indicates that an interest rate hike could occur within the next two FOMC meetings.

TRADING STRATEGY :
BUY GOLD ABOVE 1159.50 TARGET 1164.50 1170.50 SL 1153.50
SELL GOLD BELOW 1150 TARGET 1145 1139 SL 1156