09 October 2020 Morning Session Analysis
Pound surged on Brexit deal optimism.
Pound Sterling surged on Thursday amid positive prospects for a Brexit deal to approve, which dialled up the market optimisms toward the economic progression for both European Union and United Kingdom in future while spurring bullish momentum for the Pound Sterling. According to Reuters, British Prime Minister Boris Johnson and European Council President Charles had reached a consensus for the Brexit deal on Wednesday, though significant differences still remained. As for now, the 27 national leaders are due to assess progress with regards of the Brexit issues when they meet in Brussels on 15th and 16th October. If both parties decide a deal is in the making, they would authorise a final stretch of extremely secretive deal. On the coronavirus epidemic front, the British government is now considering additional local coronavirus restrictions for parts of northern England following the second wave of infections continue to spike up. Though, Bank of England Governor Andrew Baily claimed that the new wave of the coronavirus would not be as damaging as the first while reiterated that the Bank of England was ready to use its policy to combat with the impact of the second wave for coronavirus. As of writing, GBP/USD appreciated by 0.02% to 1.2935.
In the commodities market, the crude oil price surged 0.02% to $41.45 per barrel as of writing. The oil market surged following the optimistic tone from the OPEC over the market demand on the crude oil in future. According to Reuters, the Secretary General Mohammad Barkindo said that OPEC is going to continue manipulate the oil market while reiterated that the worst for the oil industry is over. On the other hand, the gold price surged 0.08% to $1895.10 per troy ounces as of writing over the backdrop of negative U.S. job data on yesterday.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | GBP – GDP (MoM) | 6.6% | – | – |
| 14:00 | GBP – Manufacturing Production (MoM) (Aug) | 6.3% | 3.0% | – |
| 20:30 | CAD – Employment Change (Sep) | 245.8K | 275.0K | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing the support level at 93.45. MACD which illustrated diminishing bullish momentum suggest the index to extend its losses after it successfully breakout below the support level.
Resistance level: 94.60, 95.95
Support level: 93.45, 92.75
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the support level at 1.2890. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 1.2985.
Resistance level: 1.2985, 1.3095
Support level: 1.2890, 1.2810
EURUSD, H4: EURUSD was traded higher while currently testing the resistance level at 1.1765. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.1765, 1.1810
Support level: 1.1725, 1.1675
USDJPY, H4: USDJPY was traded higher while currently near the resistance level at 106.15. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 106.15, 106.65
Support level: 105.70, 105.10
AUDUSD, H4: AUDUSD was traded higher following prior breakout above the resistance level at 0.7160. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 0.7210.
Resistance level: 0.7210, 0.7255
Support level: 0.7160, 0.7100
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level at 0.6575. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.6650, 0.6720
Support level: 0.6575, 0.6515
USDCAD, H4: USDCAD was traded lower while currently testing the support level at 1.3190. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.3245, 1.3320
Support level: 1.3190, 1.3135
USDCHF, H4: USDCHF was traded within a range while currently testing the support level at 0.9145. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.9275, 0.9385
Support level: 0.9145, 0.9060
CrudeOIL, H4: Crude oil price was traded higher while currently testing the resistance level at 41.50. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 41.50, 43.05
Support level: 40.55, 39.25
GOLD_, H1: Gold price was traded higher while currently testing the resistance level at 1898.00. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1898.00, 1915.65
Support level: 1876,60, 1864.25