09 October 2020 Afternoon Session Analysis
Dollar extends loss amid stimulus hopes.
During late Asian session, the dollar index which traded a basket of six major currency pairs have fell towards a second consecutive weekly loss as hopes for a U.S stimulus continue to support market sentiment and risk appetite. After President Donald Trump ended aid talks few day ago, talks over coronavirus aid plan are now been resumed by U.S House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin. At the same time, investors are looking towards the presidency of Joe Biden that may increasing the chance of stimulus since Democrat is suggesting for the largest spending package. The prospect of U.S stimulus to support U.S economy have improved investors’ mood and their willingness to buy riskier assets such as stocks and commodity currencies, thus diminishing the appeal for the greenback as a safe-haven currency. At the time of writing, dollar index slips 0.14%.
In the commodities market, crude oil price remain supported and rose 0.08% to $41.06 per barrel as of writing amid supply reductions. According to the latest reports, Hurricane Delta is expected to intensify into a category-3 hurricane in the Gulf Coast and nearly 1.5 million barrels of daily output has been halted. At the same time, the ongoing strike in Norway could reportedly extend to the country’s largest oil field, Johan Sverdrup and could reduce another 470,000 barrels per day. On the other hand, gold price soars 0.67% to $1906.78 a troy ounce at the time of writing amid weakening dollar.
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 – 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, Daily: Dollar index was traded lower while currently testing the support level at 93.50. MACD which illustrate bearish bias momentum signal suggest the dollar to extend its losses after it successfully breakout below the support level at 93.50.
Resistance level: 94.10, 94.90
Support level: 93.50, 92.10
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.2945. MACD which illustrates bullish bias momentum suggest the pair to extend its gains after it successfully breakout above the resistance level at 1.2945.
Resistance level: 1.2945, 1.3000
Support level: 1.2865, 1.2785
EURUSD, Daily: EURUSD was traded higher while currently testing the resistance level at 1.1790. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains after it successfully breakout above the resistance level at 1.1790.
Resistance level: 1.1790, 1.1950
Support level: 1.1645, 1.1455
USDJPY, H4: USDJPY was traded lower following prior retracement from the resistance level at 106.05. MACD which illustrate diminishing bullish momentum signal suggest the pair to extend its losses toward the support level at 105.75.
Resistance level: 106.05, 106.45
Support level: 105.75, 105.15
AUDUSD, H4: AUDUSD was traded higher following prior breakout above the downtrend line. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 0.7205.
Resistance level: 0.7205, 0.7265
Support level: 0.7140, 0.7080
NZDUSD, H4: NZDUSD was traded higher while currently testing the resistance level at 0.6610. MACD which illustrate bearish momentum signal suggest the pair to extend its gains after it successfully breakout above the resistance level at 0.6610.
Resistance level: 0.6610, 0.6655
Support level: 0.6570, 0.6515
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level at 1.3235. MACD which illustrate bearish bias momentum signal suggest the pair to extend its losses toward the support level at 1.3140.
Resistance level: 1.3235, 1.3315
Support level: 1.3140, 1.3030
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level at 0.9180. MACD which display diminishing bullish momentum signal suggest the pair to extend its losses toward the support level at 0.9120.
Resistance level: 0.9180, 0.9225
Support level: 0.9120, 0.9050
CrudeOIL, H4: Crude oil price was traded lower following prior retracement from the resistance level at 41.40. MACD which illustrate diminishing bullish momentum signal suggest the commodity to extend its losses toward the support level at 40.70.
Resistance level: 41.40, 42.15
Support level: 40.70, 40.05
GOLD_, H4: Gold price was traded higher following prior breakout above the previous resistance level at 1899.40. MACD which illustrate bullish bias momentum suggest the commodity to extend its gains toward the resistance level at 1918.00.
Resistance level: 1918.00, 1939.60
Support level: 1899.40, 1876.85