28 February 2019 Afternoon Session Analysis
Dollar standstill while awaiting for trade talk deal.
Dollar index which gauge its value against a basket of six currencies hovered near above three week low amid uncertainty of ongoing trade talk negotiation between China and US compel the market participant to remain cautious before entering into the market. Prior to the trade talk coming into a deal, greenback’s market sentiment is in a chaos after U.S Trade Representative Robert Lighthizer said it was still early to predict an outcome in US-China trade negotiations. Besides, exaltation in geopolitical tensions between Pakistan and India has pushed up the risk aversion of investor, dragging the investor out from riskier asset and shifted their capital to safer asset such as Greenback. As of now, Dollar index inched down 0.04% to 95.95. On the other hand, AUDUSD quoted up 0.06% to 0.7144 despite China manufacturing PMI fall for a third consecutive month. According to China Logistics, the data came in at a reading of 49.2, as compared to economist’s expectation of 49.5. Although Australia economic performance is highly correlated to China, but Aussie dollar eventually still managed to secure its position against US Dollar.
In the commodities market, crude oil price dipped 0.14% to $56.90 per barrel amid downbeat China manufacturing PMI indicating factory output has decreased and likely lead to lesser demand on crude oil. Besides, gold price down 0.08% to $1318.50 a troy ounce amid technical correction from higher level.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Event
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 21:00 | EUR – German CPI (MoM) (Feb) | -0.8% | 0.5% | – |
| 21:30 | USD – Initial Jobless Claims | 216K | 221K | – |
| 21:30 | USD – GDP (QoQ) (Q4) | 3.4% | 2.6% | – |
| 22:45 | USD – Chicago PMI (Feb) | 56.7 | 58.1 | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded higher following prior rebound from the support level at 95.75. MACD which illustrate bullish bias signal suggests the index to extend its gains toward the resistance level at 96.00
Resistance level: 96.00, 96.40
Support level: 95.75, 95.45
GBPUSD, H4: GBPUSD was traded lower following prior retracement from its higher level. MACD which illustrate diminished upward momentum suggests the pair to extend its losses towards the support level at 1.3280.
Resistance level: 1.3345, 1.3400
Support level: 1.3280, 1.3205
EURUSD, H4: EURUSD was traded lower following prior retracement from the top level of upward channel. MACD which illustrate bearish momentum and the formation of death cross suggests the pair to extend its losses towards the direction of 1.1350.
Resistance level: 1.1390, 1.1435
Support level: 1.1350, 1.1325
USDJPY, H4: USDJPY was traded lower following prior breakout below the previous support level at 110.90. However, MACD which illustrate bullish bias momentum suggests the pair to be traded higher after successfully breakout the resistance level at 110.90.
Resistance level: 111.90, 111.15
Support level: 110.60, 110.25
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level at 0.7145. MACD which illustrate bearish signal suggests the pair to extend its losses toward the support level at 0.7105.
Resistance level: 0.7145, 0.7190
Support level: 0.7105, 0.7075
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level at 0.6845. MACD which illustrate bearish signal suggests the pair to extend its losses after successfully breakout the support level at 0.6845.
Resistance level: 0.6875, 0.6900
Support level: 0.6845, 0.6795
USDCAD, H4: USDCAD was traded higher following prior rebound from the lower level. MACD which illustrate diminished downward momentum suggests the pair to be traded higher in short-toward the resistance level at 1.3195.
Resistance level: 1.3195, 1.3235
Support level: 1.3125, 1.3085
USDCHF, H4: USDCHF was traded lower while currently testing near the support level at 0.9980. MACD which illustrate bearish bias signal suggests the pair to extend its losses after successfully breakout the support level at 0.9980.
Resistance level: 1.0015, 1.0045
Support level: 0.9980, 0.9945
CrudeOIL, H4: Crude oil price was traded lower following prior retracement from the resistance level near at 57.45. MACD which illustrate diminishing upward momentum suggests its prices to extend its losses toward the support level at 56.50.
Resistance level: 57.45, 58.85
Support level: 56.60, 55.15
GOLD_, H4: Gold price was traded lower following prior breakout below the previous support level at 1323.00. MACD which illustrate bearish momentum suggests the commodity to extend its losses toward the support level at 1315.35.
Resistance level: 1323.00, 1331.65
Support level: 1315.35, 1302.70