03 March 2023 Morning Session Analysis
Greenback buoyed amid decent labor data.
The dollar index, which is traded against a basket of six major currencies, regained its luster yesterday’s night following the release of an upbeat labor data. According to the US Department of Labor, the number of American who filed for unemployment claims over the past one week dropped from 192K to 190K, beating the consensus forecast at 195K, mirroring that the US labor market remained resilient. The upbeat labor data missed the sharp increase in unemployment across the US economy, proved by the major layoff by the giant companies in the country. However, the buying momentum in the US dollar seemed limited as the market participants are waiting for the crucial labor data – NonFarm Payrolls, which will be announced on 10th March. Furthermore, the dollar index extended its bull rally, helped as US treasury yield hit the fresh high. With the persistent-high inflation, the markets have largely priced in a 25-basis point of rate hike in the upcoming meeting in March. At the meantime, the market expectations of a more aggressive rate hike are surging as well, as the recent strong economic data provided more room for the Federal Reserve to hike its rate further. As of writing, the dollar index rose 0.48% to 104.98.
In the commodities market, crude oil prices were up by 0.24% to $77.77 per barrel amid strong economic rebound in top crude importer China. Besides, gold prices edged down by -0.05% to $1835.75 per troy ounce as the US dollar retakes the crown amid strong labor data.
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 Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 17:30 | GBP – Composite PMI (Feb) | 53.0 | 53.0 | – |
| 17:30 | GBP – Services PMI (Feb) | 53.3 | 53.3 | – |
| 23:00 | USD – ISM Non-Manufacturing PMI (Feb) | 55.2 | 54.5 | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following the prior retracement from the resistance level at 105.00. MACD which illustrated diminishing bullish momentum suggests the index to undergo technical correction in short term.
Resistance level: 105.00, 106.65
Support level: 103.15, 101.25
GBPUSD, Daily: GBPUSD was traded lower while currently testing the support level at 1.1940. MACD which illustrated bearish bias momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.2105, 1.2200
Support level: 1.1940, 1.1820
EURUSD, Daily: EURUSD was traded lower while currently retesting the support level at 1.0575. However, MACD which illustrated diminishing bearish momentum suggest the pair to undergo technical rebound in short term.
Resistance level: 1.0665, 1.0770
Support level: 1.0445, 1.0275
USDJPY, Daily: USDJPY was traded higher while currently testing the resistance level at 136.45. MACD which illustrated bullish bias momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 136.45, 139.05
Support level: 135.20, 133.20
AUDUSD, Daily: AUDUSD was traded lower while currently testing the support level at 0.6725. MACD which illustrated bearish bias momentum suggest the pair to extend its losses after it successfully breakout below the support level at 0.6725.
Resistance level: 0.6860, 0.6985
Support level: 0.6725, 0.6640
NZDUSD, Daily: NZDUSD was traded lower while currently testing the support level at 0.6230. However, MACD which illustrated increasing bullish momentum suggest the pair to undergo technical rebound in short term.
Resistance level: 0.6355, 0.6460
Support level: 0.6230, 0.6160
USDCAD, Daily: USDCAD was traded lower following the prior breakout below the previous support level at 1.3600. MACD which illustrated diminishing bullish momentum suggests the pair to extend its losses toward the support level at 1.3505.
Resistance level: 1.3600, 1.3740
Support level: 1.3505, 1.3400
USDCHF, Daily: USDCHF was traded higher while currently testing the resistance level at 0.9405. MACD which illustrated bullish bias momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.9405, 0.9550
Support level: 0.9310, 0.9225
CrudeOIL, Daily: Crude oil price was traded higher following the prior breakout above the previous resistance level at 76.10. MACD which illustrated bullish bias momentum suggest the commodity to extend its gains toward the next resistance level.
Resistance level: 81.80, 86.15
Support level: 76.10, 73.25
GOLD_, Daily: Gold price was traded higher while currently testing the resistance level at 1835.00 MACD which illustrated diminishing bearish momentum suggests the commodity to extend its gains after it successfully breakout above the resistance level at 1835.00.
Resistance level: 1835.00, 1859.90
Support level: 1809.10, 1786.00