15 October 2020 Morning Session Analysis
Pound sterling jumps following Brexit fears eased.
The pound sterling which traded against the dollar and other currency pairs have rose during early Asian session as U.K have signalled that it will not abandon Brexit trade talks immediately. According to Sky News, UK Prime Minster Boris Johnson have stated that he is willing to continue talks to secure a trade deal beyond his suggested deadline on Thursday and will continue negotiations with European Commission President Ursula von der Leyen later on Wednesday. Despite with the ongoing setbacks on fisheries which is remain the key focus on negotiations, Angela Merkel has called for EU leaders to be more realistic in accepting U.K terms on fisheries. Still, market remain focused on development where UK Prime Minster Boris Johnson will give a final decision on whether to walk away or continue trade talks with the EU on Friday. At the time of writing, GBP/USD rose 0.05% to 1.3010.
In the commodities market, crude oil price soars 0.46% to $41.52 per barrel at the time of writing following huge decrease in U.S crude stockpiles. According to American Petroleum Institute (API), U.S crude oil inventories fell by 5.4 million barrels last week. At the same time, OPEC also provide further boost for the black commodity as OPEC remains optimistic and expected that the compliance to production cuts from its allies to be as high as 102% in September. On the other hand, gold price slips 0.13% to $1899.12 a troy ounce following rebound in dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
Tentative GBP Autumn Budget
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 20.30 | USD – Initial Jobless Claims | 840K | 825K | – |
| 20.30 | USD – Philadelphia Fed Manufacturing Index (Oct) | 15.0 | 14.0 | – |
| 23.00 | CrudeOIL – Crude Oil Inventories | 0.501M | -2.835M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior retracement from the resistance level 93.55. MACD which illustrate diminishing bullish momentum signal suggest the dollar to extend its retracement towards the support level 92.70.
Resistance level: 93.55, 94.65
Support level: 92.70, 91.75
GBPUSD, H4: GBPUSD was traded higher following prior breakout above the previous resistance level 1.3005. MACD which illustrate bullish bias signal suggest the pair to extend its gains towards the resistance level 1.3260.
Resistance level: 1.3260, 1.3500
Support level: 1.3005, 1.2775
EURUSD, H4: EURUSD was traded flat near the resistance level 1.1760. However, MACD which illustrate bearish bias signal suggest the pair to be traded lower towards the support level 1.1615.
Resistance level: 1.1760, 1.1880
Support level: 1.1615, 1.1455
USDJPY, H4: USDJPY remain traded in a sideway channel while currently testing the support level 105.10. However, MACD which illustrate bearish momentum signal suggest the pair to be traded lower after it breaks below the support level.
Resistance level: 105.80, 106.45
Support level: 105.10, 104.25
AUDUSD, H4: AUDUSD was traded lower following prior retracement from MA lines. MACD which illustrate ongoing bearish momentum signal suggest the pair to extend its losses towards the support level 0.7105.
Resistance level: 0.7200, 0.7340
Support level: 0.7105, 0.7005
NZDUSD, H4: NZDUSD was traded flat while currently testing the resistance level 0.6655. However, MACD which illustrate bearish bias signal with the recent formation of death cross suggest the pair to be traded lower towards the support level 0.6595.
Resistance level: 0.6655, 0.6725
Support level: 0.6595, 0.6510
USDCAD, H4: USDCAD was traded flat while currently testing the resistance level 1.3145. However, MACD which illustrate bullish momentum signal with the recent formation of golden cross suggest the pair to be traded higher after it breaks above the resistance level.
Resistance level: 1.3145, 1.3240
Support level: 1.2995, 1.2890
USDCHF, H4: USDCHF was traded lower following prior retracement from its recent high. MACD which illustrate diminishing bullish momentum signal suggest the pair to extend its retracement towards the support level 0.9080.
Resistance level: 0.9190, 0.9295
Support level: 0.9080, 0.9000
CrudeOIL, H4: Crude oil price remain traded in a sideway channel while currently testing the resistance level 41.55. However, MACD which illustrate bullish bias signal with the formation of golden cross suggest the commodity to be traded higher after it breaks above the resistance level.
Resistance level: 41.55, 43.95
Support level: 39.00, 36.55
GOLD_, H4: Gold price remain traded in a sideway channel. However, MACD which illustrate diminishing bearish momentum signal suggest the commodity to be traded higher in short term towards the resistance level 1918.90
Resistance level: 1918.90, 1970.55
Support level: 1879.05, 1847.70