22 October 2021 Afternoon Session Analysis
Aussie slip despite upbeat economic data.
Australian dollar which traded against the dollar and other currency pairs have fell despite with the upbeat economic data. According to Markit, Australia’s Services Purchasing Managers Index (PMI) in October notched up significantly from the previous reading of 45.5 to 52.0. In addition, Australia Manufacturing Purchasing Managers Index (PMI) in October edged higher from the previous reading of 56.8 to 57.3. The data suggested a stronger expansion in both sectors following easing of lockdown restriction which help to drive economic recovery. However, the Aussie dollar remains pressured amid risk off sentiment. The concerns over potential contagion from China Evergrande’s debt crisis resurfaced after Evergrande announced its deal to sell a controlling stake in its property management unit to its rival Chinese developer, Hopson had failed to come into agreement. The collapse of the deal may results in the incapability of Evergrande to make its $83 million interest payment to investors in an offshore U.S. dollar-denominated bond. The potential spillover into financial market has prompted investors to shift their portfolio into safe haven such as US dollar. As of writing, the pair of AUD/USD was down 0.05% to 0.7463.
In the commodities market, the crude oil price was down 0.01% to $82.31 per barrel as of writing amid negative demand outlook in oil market. According to market analyst, they stated that the easing of coal and gas prices due to overbought from the market has dampened the demand of oil for switching the usage of fuel. On the other hand, the gold price was down 0.02% to $1784.96 a troy ounce amid strong dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
18:00 EUR EU Leaders Summit
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | GBP – Retail Sales (MoM) (Sep) | -0.90% | 0.40% | – |
| 15:30 | EUR – German Manufacturing PMI (Oct) | 58.4 | 56.9 | – |
| 16:30 | GBP – Composite PMI (Oct) | 54.9 | – | – |
| 16:30 | GBP – Manufacturing PMI (Oct) | 57.1 | – | – |
| 16:30 | GBP – Services PMI (Oct) | 55.4 | – | – |
| 20:30 | CAD – Core Retail Sales (MoM) (Aug) | -1.00% | 3.00% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently testing the resistance level 93.70. MACD which illustrate bullish momentum signal with the recent formation of golden cross suggest the dollar to extend its gains after it breaks above the resistance level.
Resistance level: 93.70, 94.45
Support level: 93.00, 92.10
GBPUSD, H4: GBPUSD was traded lower while currently testing near the support level 1.3755. MACD which illustrate bearish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 1.3880, 1.4005
Support level: 1.3755, 1.3650
EURUSD, H4: EURUSD was traded lower while currently testing the support level 1.1615. MACD which illustrate bearish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 1.1680, 1.1760
Support level: 1.1615, 1.1530
USDJPY, H4: USDJPY was traded higher following recent rebound from its low level. MACD which illustrate diminishing bearish momentum signal suggest the pair to extend its rebound towards the resistance level 114.60.
Resistance level: 114.60, 115.85
Support level: 113.20, 112.00
AUDUSD, H4: AUDUSD was traded lower following prior breakout below the previous support level 0.7490. MACD which illustrate bearish momentum signal suggest the pair to extend its losses towards the support level 0.7410.
Resistance level: 0.7490, 0.7565
Support level: 0.7410, 0.7310
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level 0.7155. MACD which illustrate bearish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 0.7230, 0.7300
Support level: 0.7155, 0.7080
USDCAD, H4: USDCAD was traded lower while currently testing the support level 1.2335. MACD which illustrate diminishing bullish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 1.2500, 1.2620
Support level: 1.2335, 1.2200
USDCHF, H4: USDCHF was traded lower following prior breakout below the previous support level 0.9215. MACD which illustrate ongoing bearish momentum signal suggest the pair to extend its losses towards the support level 0.9140.
Resistance level: 0.9215, 0.9295
Support level: 0.9140, 0.9080
CrudeOIL, H4: Crude oil was traded lower following prior retracement from the resistance level 83.80. MACD which illustrate bearish momentum signal suggest the commodity to extend its retracement towards the support level 79.35.
Resistance level: 83.80, 88.40
Support level: 79.35, 75.85
GOLD_, H4: Gold price traded higher while currently testing near the resistance level 1793.30. MACD which illustrate ongoing bullish momentum signal suggest the commodity to extend its gains after it breaks above the resistance level.
Resistance level: 1793.30, 1812.80
Support level: 1769.10, 1748.55