7 Jun 2019 Afternoon Session Analysis
More tariffs after G-20
Pair of USD/JPY extended its recovery since early this morning following the release of bearish economic data from Japan. According to Japan Statistics Bureau, Household Spending for the month of April contracted by 1.4%, missing economist forecast for a lesser contraction of up to -0.3%. The data has dialed down market expectation for a substantial recovery in Japan’s inflation rate as it continues to hover at a low level despite numerous stimulus from Bank of Japan. As of writing, the pair of USD/JPY rose 0.08% to 108.48 during mid-Asian trading session. On the other hand, dollar index was traded flat at around 96.95 as of writing. Market participants adopts a “wait-and-see” approach upon the greenback after US President Donald Trump announced his decision to only enact tariffs upon China after the G-20 summit in Japan. The highly anticipated summit will be held on 28 and 29 June in Osaka which may provide more signals with regards to US-China trade war.
As for commodities market, crude oil price rose 0.32% to $53.20 per barrel. Oil futures extended its rebound from prior five-months low after Washington announced to postpone trade tariffs upon Mexico. On the other hand, gold price depreciates by 0.13% to $1,333.79 a troy ounce following higher demand for risky assets.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 20.30 | USD – Nonfarm Payroll | 263K | 185K | – |
| 20.30 | USD – Average Hourly Earnings (MoM) (May) | 0.2% | 0.3% | – |
| 20.30 | USD – Unemployment Rate (May) | 7.3% | – | – |
| 20.30 | CAD – Employment Change (May) | 106.5K | 8.0K | – |
| 20.30 | CAD – Unemployment Rate (May) | 5.7% | 5.7% | – |
| 01.00 (8th) | CrudeOIL – Baker Hughes Oil Rig Count | 800 | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently testing the resistance level at 96.95. MACD which illustrate bullish momentum suggests the index to extend its gains after successfully breakout above the resistance level at 96.95.
Resistance level: 96.95, 97.40
Support level: 96.70, 96.35
GBPUSD, H4: GBPUSD was traded lower while currently testing the support level at 1.2695. MACD which illustrate bearish momentum and the formation of death cross suggests the pair to extend its losses after successfully breakout below the support level at 1.2695.
Resistance level: 1.2745, 1.2795
Support level: 1.2695, 1.2610
EURUSD, H1: EURUSD was traded lower following prior breakout below the previous support level at 1.1280. MACD which illustrate bearish momentum and the formation of death cross suggests the pair to extend its losses toward the support level at 1.1245.
Resistance level: 1.1280, 1.1320
Support level: 1.1245, 1.1210
USDJPY, H1: USDJPY was traded higher following prior breakout above the previous resistance level at 108.40. However, MACD which illustrate diminishing bullish momentum suggests the pair to be traded lower in short term toward the support level at 108.40.
Resistance level: 108.80, 109.20
Support level: 108.40, 107.85
AUDUSD, H4: AUDUSD was traded lower following prior retracement near the resistance level at 0.6995. MACD which illustrate bearish bias momentum suggest the pair to extend its losses toward the support level at 0.6960.
Resistance level: 0.6995, 0.7025
Support level: 0.6960, 0.6935
NZDUSD, H4: NZDUSD was traded lower following prior retracement from the resistance level at 0.6640. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 0.6600.
Resistance level: 0.6640, 0.6670
Support level: 0.6600, 0.6570
USDCAD, H4: USDCAD was traded lower while currently testing the support level at 1.3345. MACD which illustrate bearish momentum and the formation of death cross suggests the pair to extend its losses after successfully breakout below the support level at 1.3345.
Resistance level: 1.3390, 1.3420
Support level: 1.3345, 1.3310
USDCHF, H1: USDCHF was traded higher following prior rebound from the support level at 0.9885. MACD which illustrate bullish momentum and the formation of golden cross suggests the pair to extend its gains toward the next resistance level at 0.9925.
Resistance level: 0.9925, 0.9965
Support level: 0.9885, 0.9855
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 52.80. MACD which illustrate bullish momentum suggests the commodity to extend its gains toward the resistance level at 54.30.
Resistance level: 54.30, 55.90
Support level: 52.80, 51.50
GOLD_, H4: Gold price was traded lower following prior retracement from the resistance level at 1340.75. MACD which illustrate bearish momentum suggest the commodity to extend its losses toward the support level at 1331.35.
Resistance level: 1340.75, 1353.65
Support level: 1331.35, 1322.30