04 November 2020 Afternoon Session Analysis
Pound plunged amid Brexit impasses remained.
Pound sterling which acting as one of the major currency in the FX market sink during Asian trading session amid EU-UK trade negotiation by far failed to reach an agreement on the major issues including fisheries and level of playing field. After nearly two weeks of intensified negotiation, disagreement between UK and European still remains unsolved as there had been not much of movement in the issue of fisheries. As getting closer toward the deadline of Brexit, the current situation of no consensus between both parties regarding to the issue of Brexit have lifted up the market worries over the Hard-Brexit. As of now, market participants will keeping their eye on the upcoming meeting from Brexit negotiators as they will break the silence and taking a day out to brief their respective administration. Nonetheless, appealing of US dollar market has exerted some bearish pressure on the other currency market such as pound and euro. It could be foresee that the FX market will continue to have huge volatility and trading volume today amid US Election Result. As of writing, the pair of GBP/USD dropped 0.43% to 1.3000.
In the commodities market, crude oil price appreciated by 1.20% to $38.75 per barrel as of writing amid surprise draw in US oil inventory level. According to the API, US oil inventory level have declined by 8.010M, bigger crude oil draw than economist forecast at 0.600M, lifting up the market sentiment of this black commodity. Besides, gold price plunged 0.72% to $1895.10 per troy ounce while US Election ongoing.
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 |
| 17.30 | GBP – Composite PMI (Oct) | 56.5 | 52.9 | – |
| 17.30 | GBP – Services PMI (Oct) | 56.1 | 52.3 | – |
| 21.15 | USD – ADP Nonfarm Employment Change (Oct) | 749K | 650K | – |
| 23.00 | USD – ISM Non-Manufacturing PMI (Oct) | 57.8 | 57.5 | – |
| 23.30 | CrudeOIL – Crude Oil Inventories | 4.30M | 0.890M | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior rebound from the support level at 93.45. However, MACD which illustrated diminishing bullish momentum suggest the index to be traded lower in short-term as technical correction.
Resistance level: 94.60, 95.60
Support level: 93.45, 92.05
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.3010. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 1.2955.
Resistance level: 1.3010, 1.3065
Support level: 1.2955, 1.2880
EURUSD, Daily: EURUSD was traded lower while currently testing the support level at 1.1620. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.1765, 1.1890
Support level: 1.1620, 1.1490
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level at 105.10. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 105.45.
Resistance level: 105.45, 105.80
Support level: 105.10, 104.70
AUDUSD, H4: AUDUSD was traded lower while currently testing the support level at 0.7110. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 0.7110.
Resistance level: 0.7145, 0.7195
Support level: 0.7110, 0.7065
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level at 0.6655. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.6690, 0.6735
Support level: 0.6655, 0.6620
USDCAD, H4: USDCAD was traded higher following prior breakout above the previous resistance level at 1.3205. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 1.3255.
Resistance level: 1.3255, 1.3315
Support level: 1.3205, 1.3155
USDCHF, H4: USDCHF was traded higher following prior breakout above the previous resistance level at 0.9155. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level 0.9200.
Resistance level: 0.9200, 0.9235
Support level: 0.9155 0.9100
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 38.20. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains toward resistance level at 39.65.
Resistance level: 36.65, 40.90
Support level: 38.20, 36.95
GOLD_, H1: Gold price was traded higher following prior rebound from the support level at 1894.60. However, MACD which illustrated increasing bearish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 1908.75, 1932.65
Support level: 1894.60, 1884.25