16 November 2021 Morning Session Analysis
Euro slumped amid dovish tone from ECB.
The Euro slumped following the European Central Bank unleashed their dovish tone toward the economic progression in the Europe region. According to Reuters, European Central Bank President Christine Lagarde claimed on yesterday that the Eurozone inflation will continue to persist for longer than previously expected, while reiterated that the inflation rate will still likely to drop below the central bank’s 2 percent target over the medium term. She argued that the current high inflation rate will only transitory, signaling that the contractionary monetary policy from the ECB is unlikely to be met next year. Indeed, high inflation rate as well as continuing expansionary monetary will likely to increase the money circulation in European market, which spurring negative prospect for the Euro. As of writing, EUR/USD depreciated by 0.04% to 1.1370.
In the commodities market, the crude oil price was slumped 0.05% to $80.85 per barrel as of writing. The spiking numbers of the Covid-19 cases in the European region had continue to prompt the government to consider re-imposing lockdowns, which dialing down the market optimism toward the demand for this black-commodity. On the other hand, the gold price appreciated by 0.06% to $1863.90 per troy ounces as of writing amid high stagflation risk in future had continue to stoke a shift in sentiment toward the safe-haven asset, increasing the appeal for the gold.
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 |
| 15:00 | GBP – Average Earnings Index +Bonus (Sep) | 7.20% | 5.60% | – |
| 15:00 | GBP – Claimant Count Change (Oct) | -51.1K | – | – |
| 21:30 | USD – Core Retail Sales (MoM) (Oct) | 0.80% | 0.80% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently testing the resistance level at 95.50. MACD which illustrated increasing bullish momentum suggest the index to extend its gains after it successfully breakout above the resistance level.
Resistance level: 95.50, 96.45
Support level: 94.50, 93.50
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.3440. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.3440, 1.3615
Support level: 1.3305, 1.3180
EURUSD, Daily: EURUSD was traded lower while currently testing the support level at 1.1370. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.1530, 1.1680
Support level: 1.1370, 1.1180
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level at 113.30. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 114.55.
Resistance level: 114.55, 115.40
Support level: 113.30, 112.05
AUDUSD, H4: AUDUSD was traded higher following prior rebound from the support level at 0.7290. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.7380, 0.7435
Support level: 0.7290, 0.7220
NZDUSD, H4: NZDUSD was traded lower following prior retracement form the resistance level at 0.7075. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 0.6995.
Resistance level: 0.7075, 0.7110
Support level: 0.6995, 0.6955
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level at 1.2525. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 1.2465.
Resistance level: 1.2525, 1.2595
Support level: 1.2465, 1.2400
USDCHF, Daily: USDCHF was traded higher following prior breakout above the previous resistance level at 0.9225. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 0.9305.
Resistance level: 0.9305, 0.9355
Support level: 0.9255, 0.9155
CrudeOIL, H4: Crude oil price was traded lower while currently testing the support level at 79.15. However, MACD which illustrated diminishing bearish momentum suggest the commodity to be traded higher in short-term as technical correction.
Resistance level: 81.25, 83.30
Support level: 79.51, 76.10
GOLD_, H4: Gold price was traded higher while currently testing the resistance level at 1870.40. However, MACD which illustrated increasing bearish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 1870.40, 1889.20
Support level: 1848.30, 1830.65
Risk Statement:
Forex, Gold, Crude Oil, Commodities, CFD and all other margin trading investment products involve high level of risk and may not be suitable for all investors. Your previous investment success in stock, futures or any other investment achieved does not mean that all your future investment will obtain the same results. You should carefully consider your investment objectives; risk associated and seek professional advice before deciding to trade or if you have any doubts.