16 May 2022 Afternoon Session Analysis
Australia Dollar slumped amid bearish Chinese economic prospect.
The Chinese-proxy currencies such as Australia Dollar slumped significantly over the backdrop of downbeat prospect for the Chinese economy, dialing down the market optimism toward the Australia Dollar. According to National Bureau of Statistics, China Industrial Production notched down significantly from the previous reading of 5.0% to -2.9%, missing the market forecast at 0.4%. Such data was the lowest since China’s industrial production dropped by 25.87% in February. The China’s economic slowdown continued in April amid the implementation of Covid-19 controls continue to jeopardize the supply side industry. Besides, restriction across the country, especially the lockdown of China’s most prosperous city of Shanghai since late March, have continued to weigh down the consumer consumption, with retail sales slumping by 11.1% in April. As of writing, AUD/USD depreciated by 0.83% to 0.6880.
In the commodities market, the crude oil price depreciated by 0.90% to $107.07 per barrel as of writing amid fears upon the global economic recession continue to drag down the appeal for the crude oil demand. On the other hand, the gold price slumped 0.04% to $1810.40 per troy ounces as of writing amid strengthening US Dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
22:15 GBP BoE MPC Treasury Committee Hearings
Today’s Highlight Economic Data
N/A
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior retracement from the resistance level. MACD which illustrated increasing bearish momentum suggest the index to extend its losses toward support level.
Resistance level: 104.95, 106.40
Support level: 103.90, 102.45
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the support level. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains.
Resistance level: 1.2385, 1.2590
Support level: 1.2200, 1.2010
EURUSD, H4: EURUSD was traded lower following prior breakout below the previous support level. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher as technical correction.
Resistance level: 1.0485, 1.0620
Support level: 1.0355, 1.0205
USDJPY, H4: USDJPY was traded lower while currently testing the support level. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after breakout.
Resistance level: 131.05, 132.65
Support level: 128.80, 127.15
AUDUSD, Daily: AUDUSD was traded lower while currently testing the support level. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher as technical correction.
Resistance level: 0.7055, 0.7260
Support level: 0.6870, 0.6720
NZDUSD, Daily: NZDUSD was traded lower following prior breakout below the previous support level. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher as technical correction.
Resistance level: 0.6400, 0.6550
Support level: 0.6150, 0.5920
USDCAD, H4: USDCAD was traded higher following prior rebound from the support level. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level.
Resistance level: 1.3050, 1.3185
Support level: 1.2890, 1.2720
USDCHF, H1: USDCHF was traded higher following prior breakout above the previous resistance level. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains.
Resistance level: 1.0075, 1.0185
Support level: 0.9970, 0.9850
CrudeOIL, H1: Crude oil price was traded lower while currently testing the support level. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses.
Resistance level: 108.55, 110.35
Support level: 106.65, 105.45
GOLD_, H1: Gold price was traded lower following prior breakout below the previous support level. MACD which illustrated diminishing bullish momentum suggest the commodity to extend its losses toward support level.
Resistance level: 1829.40, 1863.25
Support level: 1789.95, 1753.10