24 April 2020 Morning Session Analysis
Dollar sinks amid weakening of labor market.
Dollar index which gauges its value against a basket of six major currencies wobbles amid latest economic data from US region showed a disappointed result. According to the Department of Labor, US Initial Jobless Claim data came in at 4,427K, blowing the estimate of economist at 4,200K, boosted the total number of Americans applied for unemployment to more than 26.5 million since the outbreak of the pandemic. Back to few months ago, Coronavirus pandemic’s impact has been rippling the entire US economy which shown by a series of bleak economic data, millions of Americans filed for unemployment benefit during this undesirable period. Besides, most of the economic experts also foresee that there could be another wave of layoffs and application of unemployment benefits as crisis continues, yet Trump administration still unveiled a three stage plan to reopen its economy. Besides, US New Home Sales which released yesterday also further dragged down the appeal of dollar index. According to the Census Bureau, US New Home Sales data rise by 627K, weaker than the economist forecast of 645K, while showing the economy is still being haunted by the fast spreading virus. As of writing, dollar index notched down 0.01% to 100.50.
In the commodities market, crude oil price appreciated by 0.10% to $17.05 per barrel amid renewed tensions in the Middle East. After Trump allowed their battleship to fire on any Iran warship in its sea, Iran warned US that they will destroy US warships if Tehran’s security is threatened in the Gulf. Besides, gold price rose 0.05% to $1730.50 a troy ounce amid dollar weakened.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
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Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | GBP – Retail Sales (MoM)(Mar) | -0.3% | -4.0% | – |
| 16:00 | EUR – German Ifo Business Climate Index (Apr) | 86.1 | 80.0 | – |
| 20:30 | USD – Core Durable Goods Orders (MoM)(Mar) | -0.6% | -5.8% | – |
| 01:00
(25th) |
CrudeOIL – U.S. Baker Hughes Oil Rig Count | 438 | – | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior breakout above the previous resistance level at 99.70. MACD which illustrate diminishing bearish momentum suggest the dollar to extend its gains toward the resistance level at 101.20.
Resistance level: 101.20, 102.90
Support level: 99.70, 98.30
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the support level at 1.2340. MACD which illustrate bullish bias momentum suggest the pair to extend its gains toward the resistance level at 1.2425.
Resistance level: 1.2425, 1.2520
Support level: 1.2340, 1.2215
EURUSD, Daily: EURUSD was traded lower while currently testing the support level at 1.0765. MACD which illustrate bearish signal with the formation of death cross suggest the pair to extend its losses after it successfully breakout below the support level at 1.0765.
Resistance level: 1.0830, 1.0940
Support level: 1.0765, 1.0655
USDJPY, H4: USDJPY was traded lower following prior retracement from the resistance level at 107.95. MACD which illustrate bearish momentum signal suggest the pair to extend its losses toward the support level at 106.85.
Resistance level: 107.95, 109.30
Support level: 106.85, 105.80
AUDUSD, Daily: AUDUSD was traded higher following prior rebound from the 20 moving average line (red). MACD which illustrate bullish bias momentum suggest the pair to extend its gains toward the resistance level at 0.6460.
Resistance level: 0.6460, 0.6705
Support level: 0.6180, 0.5975
NZDUSD, H1: NZDUSD was traded lower following prior retracement from the higher level. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses toward the support level at 0.5995.
Resistance level: 0.6055, 0.6120
Support level: 0.5995, 0.5945
USDCAD, H4: USDCAD was traded higher following prior rebound from the lower level. MACD which illustrate diminishing bearish momentum suggests the pair to extend its gains toward the resistance level at 1.4105.
Resistance level: 1.4105, 1.4240
Support level: 1.3980, 1.3790
USDCHF, H4: USDCHF was traded higher following prior breakout above the resistance level at 0.9745. MACD which illustrate bullish bias momentum suggest the pair to extend its gains toward the resistance level at 0.9825.
Resistance level: 0.9825, 0.9900
Support level: 0.9745, 0.9685
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level at 15.70. MACD which illustrate bullish bias momentum suggest the commodity to extend its gains toward the resistance level at 18.05.
Resistance level: 18.05, 21.80
Support level: 15.70, 12.95
GOLD_, H1: Gold price was traded lower following prior retracement from the higher level. MACD which illustrate bearish bias momentum signal suggest the commodity to extend its losses toward the support level at 1724.45.
Resistance level: 1738.15, 1760.10
Support level: 1724.45, 1711.25