13 December 2018 Afternoon Session Analysis
Dollar inched higher ahead of rate hike expectations.
Dollar index strengthened against a basket of six major currencies pair, inching higher by 0.05% to 97.05 while investors await last rate hike for this year. US Federal Reserve (Fed) is expected to raise interest rate next week. Recent data portrays a slowdown in the US economy, which provides further confirmation regarding Fed’s Chairman Jerome Powell comment on US economy reaching its peak. Powell’s suggestion was to pause future rate hike for next year as current rate hover closer to its neutral rate. Investors will now focus on Fed’s speech regarding future economic outlook to further determine the momentum of dollar. On the other hand, pair of EUR/USD remained flat at 1.1365 before early European trading session while investors pay their attention towards European Central Bank (ECB) Press Conference later today. As interest rate are expected to stay at 0.0%, ECB will also be expected to announced the revocation of its bond buying (QE) program with the current economy and low CPI outlook. Due to these contradicting elements, the central bank’s interest rate decision scheduled tonight may garner higher market momentum upon the single common currency.
As for commodities market, crude oil price was traded flat near $51.30 per barrel after falling from high level amid poor inventory reading. EIA reported this week’s crude inventories level at -1.208M which missed economist’s expectation of -2.99M. Otherwise, gold price slipped by 0.03% to $1,245.05 a troy ounce amid bullish dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
16:30 CHF SNB Monetary Policy Assessment
16:30 CHF SNB Press Conference
Tentative EUR EU Leaders Summit
21:30 EUR ECB Press Conference
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 16:30 | CHF – SNB Interest Rate Decision | -0.75% | -0.75% | – |
| 20:45 | EUR – Deposit Facility Rate | -0.40% | -0.40% | – |
| 20:45 | EUR – ECB Marginal Lending Facility | 0.25% | 0.25% | – |
| 20:45 | EUR – ECB Interest Rate Decision (Dec) | 0.00% | 0.00% | – |
| 21:30 | USD – Import Price Index (MoM) (Nov) | 0.5% | -1.0% | – |
| 21:30 | USD – Initial Jobless Claims | 231K | 226K | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded higher following prior breakout above previous resistance level at 97.00. MACD yang illustrate diminishing bearish momentum suggest dollar to extend its gains towards the resistance level at 97.20.
Resistance level: 97.20, 97.45
Support level: 97.00, 96.80
GBPUSD, H4: GBPUSD was traded lower while currently testing near the support level 1.2605. MACD which display diminishing bullish momentum suggest the pair to extend its losses after a breakout below the support level.
Resistance level: 1.2660, 1.2700
Support level: 1.2605, 1.2535
EURUSD, H1: EURUSD was traded lower while currently testing near the support level 1.1360. MACD which illustrate starting bearish momentum and the formation of death cross suggest the pair to extend its losses after a breakout below the support level.
Resistance level: 1.1400, 1.1435
Support level: 1.1360, 1.1325
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level 113.40. MACD which display bullish bias suggest the pair to extend its gains towards the resistance level 113.90.
Resistance level: 113.90, 114.20
Support level: 113.40, 113.05
AUDUSD, H4: AUDUSD was traded higher following prior breakout above previous resistance level at 0.7220. MACD which display bullish momentum suggest the pair to extend its gains towards the resistance level 0.7260.
Resistance level: 0.7260, 0.7290
Support level: 0.7220, 0.7185
NZDUSD, H4: NZDUSD was traded higher following prior breakout above previous resistance level 0.6855. MACD yang illustrate starting bullish momentum suggest the pair to extend its gains towards the resistance level 0.6895.
Resistance level: 0.6895, 0.6955
Support level: 0.6855, 0.6800
USDCAD, H1: USDCAD was traded higher while currently testing near the resistance level 1.3355. MACD which illustrate diminishing bullish momentum suggest the pair to undergo technical correction and retrace from the resistance level.
Resistance level: 1.3355, 1.3400
Support level: 1.3315, 1.3285
USDCHF, H1: USDCHF was traded higher following prior breakout above the previous resistance level 0.9925. MACD which illustrate bullish signal and formation of golden cross suggest the pair to extend its gains towards the resistance level 0.9965.
Resistance level: 0.9965, 1.0000
Support level: 0.9925, 0.9880
CrudeOIL, H4: Crude oil price was traded lower following prior breakout below the previous support level 51.60. MACD which display bearish signal and the formation of death cross suggest the commodity to extend its losses towards the support level 50.50.
Resistance level: 51.60, 52.30
Support level: 50.50, 49.55
GOLD_, H4: Gold price remains traded in a sideway channel following prior retracement from the resistance level 1246.45. MACD which illustrate bearish bias suggest the commodity to extend its retracement towards the lower level of channel near the support level 1241.60.
Resistance level: 1252.75, 1262.85
Support level: 1241.60, 1235.00