15 August 2018 Daily Analysis
Dollar rallies following increasing expectation of Fed rate hike.
The dollar has continued its ascension and created a new high level repeatedly following most sentiments that remain subjected to the expectations of Fed rate hike and major headlines in the Turkish financial crisis. Markets remain in high expectation that the likeliness of increase in the Fed rate for September remains unchanged with a percentage rate of 90 percent. In addition, trade war between the US and China remains focused by investors where the market remains optimistic about the U.S. in the long run. The dollar index has rose 0.03% to 96.52 during writing. Meanwhile, GBPUSD has fell 0.11% to 0.7257 at the time of writing despite the steady economic data of the job market. According to the National Statistics from UK, the unemployment rate in the UK has improved with a 4.0% decrease, lower than the market expectations with a reading of 4.2%. However, it did not create a positive impact that could have lasted for the sentiment in pound sterling where additional details also revealed that the growth in annual wages was slower than expectations with 2.4% reading, weaker from expectations of 2.5%.
In the commodity market, crude oil prices have recovered 0.13% to $ 66.70 despite the American Petroleum Institute (API) reported that US crude inventories have increased by 3.66 million barrels per day last week, higher than the previous reading which recorded a decrease of -6.00 million barrels a day. On the other hand, Gold prices have dropped 0.13% to $ 1192.89 a troy ounce while writing amid the strength of the dollar driven by expectations of rising interest rates.
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 – CPI (YoY) (Jul) | 2.4% | 2.5% | – |
| 16.30 | GBP – PPI Input (MoM) (Jul) | 0.2% | 0.1% | – |
| 20.30 | USD – Retail Sales (MoM) (Jul) | 0.5% | 0.2% | – |
| 22.30 | CrudeOIL – Crude Oil Inventories | -1.351M | -2.667M | – |
GBPUSD
GBPUSD, H1: GBPUSD was traded lower following recent breakout below the support level 1.2720. Recent price action and MACD which illustrate clear bearish signal suggest the pair may extend its losses towards the support level 1.2650.
Resistance level: 1.2720, 1.2780
Support level: 1.2650, 1.2585
EURUSD
EURUSD, H1: EURUSD was traded lower while currently testing the support level 1.1325. MACD which display clear bearish bias suggest the pair may extend its losses after it breaks below the support level 1.1325.
Resistance level: 1.1380, 1.1440
Support level: 1.1325, 1.1280
USDJPY
USDJPY, H1: USDJPY was traded higher following prior breakout above the resistance level 111.10. MACD which illustrate diminished bullish signal suggest the pair to experience short term technical correction towards the support level 111.10.
Resistance level: 111.45, 111.90
Support level: 111.10, 110.75
CrudeOIL
CrudeOIL, H1: The price of crude oil was traded lower following recent breakout below the support level 67.20. Recent price action and MACD which display bearish signal suggest the pair to be traded lower towards the support level 66.30
Resistance level: 67.90, 68.75
Support level: 67.20, 66.30
GOLD
GOLD_, H1: The price of gold was traded lower following prior breakout below the support level 1192.00. Price action and MACD which illustrate diminished bullish momentum suggest the yellow metal to extend its losses towards the support level 1185.50
Resistance level: 1192.00, 1198.00
Support level: 1185.50, 1177.00