22 August 2017 Daily Analysis
US dollar concedes to haunting ambivalence.
Greenback hovers between gains and losses on Tuesday while investors eye on renewed geopolitical tension in the Korean Peninsula following US-South Korea joint military exercise. The dollar index was last seen hovering near 92.95 against a basket of six major peers. Overnight, US dollar losses its ground against safe-haven currencies while US and South Korea began a computer-simulated military exercise, risking retaliation from North Korean leader Kim Jong Un who view such exercises as hostility. In addition, the greenback suffered from further pressure due to ongoing ambivalence that surrounds US President Donald Trump’s economic agenda and Federal Reserve’s ability to raise their interest rates for the third time this year. In the other region, pound sterling and euro pared some losses as greenback kickstart the week with subdued performance.
Otherwise, crude oil price inched up 0.36% to $47.70 per barrel, lifted by signs of a gradual crude supply tightening in the United States. On the other hand, gold price was held steady at $1,290.83 in a quiet Asian trading hours.
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 Economy Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:30 | GBP – Public Sector Net Borrowing (Jul) | 6.28B | -0.20B | – |
| 17:00 | EUR – German ZEW Economic Sentiment (Aug) | 17.5 | 15.0 | – |
| 18:00 | GBP – CBI Industrial Trends Orders (Aug) | 10 | 9 | – |
| 20:30 | CAD – Core Retail Sales (MoM) (Jun) | -0.1% | 0.3% | – |
| 04:30 | CrudeOIL – API Weekly Crude Oil Stock | -9.200M | – | – |
GBPUSD
GBPUSD, H1: GPBUSD remains traded within a range following prior retracement from the strong resistance level of 1.2905. A closure below the 20-MA line (red) would suggest further downside bias for GBPUSD to advance towards the support level of 1.2875.
Resistance level: 1.2905, 1.2940
Support level: 1.2875, 1.2845, 1.2810
EURUSD
EURUSD, H4: EURUSD has recently broke out from the top level of downward channel, signaling a change in trend direction to move further upwards. MACD histogram which illustrates positive divergence signal suggest EURUSD to advance further up and retest at the target of 1.1840.
Resistance level: 1.1840, 1.1890
Support level: 1.1780, 1.1720
USDJPY
USDJPY, H4: USDJPY was traded higher following recent rebound form the strong support level of 108.90. Such price action suggests short-term upside bias for USDJPY to extend its gains towards the target of resistance level at 109.50.
Resistance level: 109.50, 110.10, 110.80
Support level: 108.90, 108.30
CrudeOIL
CrudeOIL, Daily: Crude oil price remained traded within a narrowing triangle while recently closed below the support level of 48.50. The 20-MA line (red) which begins to head downwards suggests crude oil price to advance towards the bottom level of the triangle, near the support level of 47.00.
Resistance level: 48.50, 50.00
Support level: 47.00, 45.50
GOLD
GOLD_, H4: Gold price was traded lower following prior retracement from the strong resistance level of 1292.05. A closure below the 20-MA line (red) would suggest gold price to extend further down, towards the target of support level at 1282.00.
Resistance level: 1292.05, 1300.00
Support level: 1282.00, 1271.90