Amazon Killing Competition

Thursday Amazon said that its takeover of Whole Foods will close on Monday and its Whole Foods Market will offer lower prices on a “selection of best-selling grocery staples across the stores, with more to come.” Amazon stated it will continue to lower prices and eventually offer special discounts and in-store benefits to Amazon Prime members. Meanwhile, Whole Foods will continue to be headquartered in Austin and John Mackey will still be the chief executive. Amazon’s announcement drove losses at retailers including Walmart, Target, Kroger and Costco and even pushed U.S. markets lower.

source:WashingtonPost, Ken Wolter / Shutterstock.com

Germany releases its second quarter GDP at 06:00 GMT and its Ifo Business Climate Index for August, which is due at 08:00 GMT. Japan’s July consumer prices edged up for the 7th straight month, which means that the economy is making a slow but steady progress toward meeting the Bank of Japan’s 2 percent inflation target. Japan’s economy expanded at the fastest pace over two years in the second quarter as consumer and company spending picked up. Japan plans to impose additional sanctions against North Korea, following the country’s repeated missile launches.

Elsewhere, U.S. communicates its core durable goods orders for the month of July at 12:30 GMT. Additionally, the U.S. Fed Chair Janet Yellen’s speech is scheduled at 14:00 GMT while the President of the European Central Bank will speak at 19:00 GMT. These Jackson Hole Symposium speeches will have the attention of global investors today and the broad market can experience volatile conditions in the day and set new trends for assets. The U.S. currency was buoyant against the Japanese yen earlier today, after gaining 0.5 percent overnight.

Technical Analysis

SPX500

SPX500

The S&P 500 index gained much volatility in yesterday’s morning trade and reached a high level of 2448.6 points at 12:00 UTC. This was followed by a much volatile trend through the rest of the day, it maintained this trend in today’s early trade session. The Wall Street index depicts a change in trend around 08:00 UTC today, consider trading within similar time zone today. The asset is made available on the TradeReplica tool.

EUR/USD

EUR/USD

The U.S. dollar bounced back on Thursday and led assets trading under pressure. The EUR/USD pair was quoted at a record high of $1.18115 at 17:00 UTC in yesterday’s session but this was dragged by bearish candles. Today, all eyes turn to Yellen’s and Draghi’s speeches held at the Jackson Hole conference. The currency pair started picking momentum as from 02:00 UTC earlier and it could gain more strength on the forex market.

GBP/USD

GBP/USD

The pair of GBP/USD gained strength in yesterday’s session as from 06:00 UTC, pulled by momentary jumps till 09:00 UTC where it traded at $1.28244. However, it was quoted at a record high of $1.28286 around 12:00 UTC on Thursday. Today, it initiated its session on a positive note at 00:00 UTC and this was followed by several bullish candles in the early trade. It could follow an uptrend through today, Long Term Trading can be used for this one.

Things to watch on the market

Tip 1

Amazon’s grocery strategy makes it a winner in the field and led shares of rivals lower on Thursday, it is thus a good opportunity to trade on stocks of Amazon.

 

Tip 2

Consider trading on assets such as the EUR/USD, EUR/GBP, EUR/JPY, USD/JPY and the Nikkei 225 index, pertaining to events releasing today.

 

Tip 3

Investors are advised to pay much attention currency pairs such as the AUD/USD, GBP/USD, USD/JPY, DAX, and Wall Street indices.