27 May 2020 Morning Session Analysis
Dollar tumbled following hopes of COVID-19 vaccine.
On early Asian session, the dollar index which traded against a basket of six major currency pairs have fell after investor risk appetite increased by hopes of coronavirus vaccine and economic recovery from the virus’s impact. According to latest development, U.S. biotech company Novavax have stated that it has begun trials for a coronavirus vaccine in Australia and also aims to release clinical trial results for its novel COVID-19 vaccine by July. Besides that, the company also mentions that it will start phase 2 trials in several countries including the U.S upon the completion of phase 1. On the other hand, following a drop in cases which led the Japanese government to end its state of emergency, showing signs of more countries that are reopening their economies and the slowing of the coronavirus. These positive factors have boosted the market risk market appetite, thus prompting investors to shift out from the greenback as safe-haven. At the time of writing, dollar index slips 0.85% to 98.93.
In the commodities market, crude oil price edge higher 0.15% to $33.78 per barrel as of writing following Russia plans to ease production cuts. According to reports, Russia is determined to start easing oil output cuts from July, sticking to the terms of the OPEC+ deal struck earlier this year. Kremlin spokesman Dmitry Peskov told reporters on Tuesday that the deal is “undoubtedly successful,” and said countries will look how the situation develops before taking a decision at the June 9-10 meeting. Next, gold price fell 0.09% to $1711.50 a troy ounce at the time of writing amid increasing optimism on economic recovery and vaccine have diminished the appeal of safe-haven.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
15.30 EUR ECB President Lagarde Speaks
Today’s Highlight Economic Data
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Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing near the support level 98.70. MACD which illustrate ongoing bearish momentum suggest the dollar to extend its losses after it breaks below the support level.
Resistance level: 99.50, 100.25
Support level: 98.70, 97.70
GBPUSD, H4: GBPUSD was traded higher following prior breakout above the previous resistance level 1.2265. However, MACD which illustrate diminishing bullish momentum signal suggest the pair may experience a short-term technical correction towards the current support level 1.2265.
Resistance level: 1.2435, 1.2630
Support level: 1.2265, 1.2070
EURUSD, H4: EURUSD was traded higher while currently testing the resistance level 1.0995. However, MACD which illustrate diminishing bullish momentum suggest the pair to experience a technical correction in short term towards the support level 1.0880.
Resistance level: 1.0995, 1.1140
Support level: 1.0880, 1.0730
USDJPY, H4: USDJPY remain traded in a sideway channel while currently testing near the support level 107.35. However, MACD which illustrate bearish momentum signal suggest the pair to be traded lower after it breaks below the support level.
Resistance level: 108.05, 108.55
Support level: 107.35, 106.50
AUDUSD, H4: AUDUSD was traded higher while currently testing near the resistance level 0.6670. However, MACD which illustrate diminishing bullish momentum suggest the pair to be traded lower as a technical correction in short term towards the support level 0.6560.
Resistance level: 0.6670, 0.6750
Support level: 0.6560, 0.6390
NZDUSD, H4: NZDUSD was traded higher following prior breakout above the previous resistance level 0.6150. However, MACD which illustrate diminishing bullish bias signal suggest the pair to experience a short-term technical correction towards the current support level 0.6150.
Resistance level: 0.6250, 0.6365
Support level: 0.6150, 0.6070
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level 1.3865. MACD which display persistent bearish bias signal suggest the pair to extend its losses towards the support level 1.3685.
Resistance level: 1.3865, 1.4020
Support level: 1.3685, 1.3510
USDCHF, H4: USDCHF was traded higher following prior breakout below the previous support level 0.9665. MACD which display ongoing bearish momentum signal suggest the pair to extend its losses towards the support level 0.9595.
Resistance level: 0.9665, 0.9730
Support level: 0.9595, 0.9500
CrudeOIL, H4: Crude oil price remain traded in a sideway channel while currently testing near the resistance level 35.35. However, MACD which illustrate diminishing bearish bias signal suggest the commodity to be traded higher after it breaks above the resistance level.
Resistance level: 35.50, 39.50
Support level: 30.95, 26.70
GOLD_, H4: Gold price was traded lower following prior breakout below the previous support level 1726.90. MACD which illustrate bearish momentum signal suggest the pair to extend its losses towards the support level 1673.95.
Resistance level: 1726.90, 1768.05
Support level: 1673.95, 1637.40