12 January 2021 Morning Session Analysis
Euro sinks following rising COVID-19 cases in Europe.
During early Asian session, the euro have fell against the dollar and other currency pairs due to growing concerns over Europe’s increasing Covid-19 infection numbers. As coronavirus continue to ravage across the globe, countries across the EU remain facing difficulty to have the virus under control. Most of Europe was under the strictest restrictions after the continent became the first to report 25 million coronavirus cases last week. In Belgium, infection rates in Brussels have leapt by more than three-quarters in a week. There is also news about France to close borders with UK to reduce the influx of new COVID-19 variants. Following the worsening condition of outbreak, investors are now shifting their portfolio from to safer markets such as greenback, thus also dragging down the Euro at the same time. At the time of writing, EUR/USD plunged 0.09% to 1.2154.
In the commodities market, crude oil price retreats 0.05% to $52.12 per barrel as of writing amid ongoing demand concerns over surging coronavirus. As of now, market sentiment has been slowly dented by strict coronavirus lockdowns in Europe and new movement restrictions in China which is the world’s second-largest oil user after a jump in cases there. On the other hand, gold price remains weak and fell 0.11% to $1847.88 a troy ounce at the time of writing following stronger dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
20.00 CrudeOIL EIA Short-Term Energy Outlook
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 23.00 | USD – JOLTs Job Openings (Nov) | 6.652M | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the previous resistance level 90.15. MACD which illustrate persistent bullish bias signal suggest the dollar to extend its gains towards the resistance level 91.00.
Resistance level: 91.00, 92.10
Support level: 90.15, 89.00
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the support level 1.3470. MACD which illustrate diminishing bearish momentum signal suggest the pair to extend its rebound towards the resistance level 1.3620.
Resistance level: 1.3620, 1.3725
Support level: 1.3470, 1.3295
EURUSD, H4: EURUSD was traded lower while currently testing near the support level 1.2125. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to experience a technical correction towards the resistance level 1.2260.
Resistance level: 1.2260, 1.2390
Support level: 1.2125, 1.1995
USDJPY, H4: USDJPY was traded higher while currently testing near the resistance level 104.25. However, MACD which illustrate diminishing bullish momentum signal with the starting formation of death cross suggest the pair to experience a technical correction towards the support level 103.20.
Resistance level: 104.25, 105.10
Support level: 103.20, 102.15
AUDUSD, H4: AUDUSD was traded flat near the resistance level 0.7735. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to be traded higher after it breaks above the resistance level.
Resistance level: 0.7735, 0.7825
Support level: 0.7630, 0.7480
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level 0.7155. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to be traded higher as a technical correction towards the resistance level 0.7300.
Resistance level: 0.7300, 0.7390
Support level: 0.7155, 0.7070
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level 1.2795. MACD which illustrate diminishing bullish momentum signal suggest the pair to experience a technical correction towards the support level 1.2640.
Resistance level: 1.2795, 1.2955
Support level: 1.2640, 1.2535
USDCHF, H4: USDCHF was traded higher while currently testing the resistance level 0.8900. However, MACD which illustrate diminishing bullish momentum signal suggest the pair to be traded lower as a technical correction towards the support level 0.8765.
Resistance level: 0.8900, 0.8990
Support level: 0.8765, 0.8650
CrudeOIL, H4: Crude oil price was traded higher following recent breakout above the previous resistance level 51.30. However, MACD which illustrate bearish bias signal with the formation of death cross suggest the commodity to experience a short term technical correction towards the support level 51.30.
Resistance level: 54.75, 57.40
Support level: 51.30, 48.35
GOLD_, H4: Gold price was traded higher while currently testing near the resistance level 1857.75. MACD which illustrate diminishing bearish momentum signal suggest the commodity to extend its gains after it breaks above the resistance level.
Resistance level: 1857.75, 1897.25
Support level: 1816.25, 1770.90