9 October 2019 Morning Session Analysis
Dollar hold gains as market awaits further signal from trade talk.
The dollar index which measured against a basket of six major currency pair have managed to hold its ground as investors are currently looking for further developments from trade talk to drive market sentiment. On data wise, US PPI have come in at -0.3% which is weaker than market expectation of 0.1%. However, the weak data doesn’t deter the market as investors continue to remain in a holding pattern. Still, the upside potential for the greenback may be short-lived as recent developments from U.S and China may have dimmed market hopes for a trade deal. Investors still remain in focus for further developments to attain confirmation for the greenback sentiment. Meanwhile, GBP/USD extend its losses following the increasing risk of Brexit. According to recent reports, Prime Minister UK Boris Johnson and German Chancellor Angela Markel have talk to each other in a private phone call. No 10 cited that Merkel stated there could only be a deal if Northern Ireland stays in Customs Union, if not, then deal is ‘overwhelmingly unlikely’. The remarks have further increase the risk of no deal Brexit, therefore triggering further pressure for the pound. At the time of writing, dollar index rose 0.04% to 98.73 while GBP/USD fell 0.15% to 1.2215.
As for commodities market, crude oil price plunged 0.30% to $52.45 per barrel as of writing following the increase of crude oil inventories. According to the data from API, U.S crude stockpiles rose by 4.1 million last week. At the same time, the uncertainty in trade talk between U.S and China also weigh in the market sentiment. Next, gold price rose 0.10% to $1505.35 a troy ounce at the time of writing following risk-off appetite which boosted the appeal for safe haven commodity.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
2.00 USD FOMC Meeting Minutes
(10th Oct)
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 20:30 | USD – JOLTs Job Opening (Aug) | 7.217M | 7.191M | – |
| 04:30
(9th) |
CrudeOIL – Crude Oil Inventories | 3.100M | 1.413M | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded lower following prior retracement from the resistance level at 98.85. MACD which illustrate bearish signal suggests the index to extend its losses toward the support level at 98.60.
Resistance level: 98.85, 99.20
Support level: 98.60, 98.20
GBPUSD, Daily: GBPUSD was traded lower following prior breakout below the previous support level at 1.2325. MACD which illustrate bearish signal suggests the pair to extend its losses toward the support level at 1.2170.
Resistance level: 1.2325, 1.2395
Support level: 1.2165, 1.2020
EURUSD, Daily: EURUSD was traded lower while currently testing the support level at 1.0965. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses after successfully breakout below the support level at 1.0960.
Resistance level: 1.1125, 1.1300
Support level: 1.0960, 1.0855
USDJPY, H4: USDJPY was traded higher while currently testing the resistance level at 107.00. MACD which illustrate bullish signal suggests the pair to advance further up after successfully breakout above the resistance level at 107.00.
Resistance level: 107.00, 107.80
Support level: 106.65, 106.20
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level at 0.6745. MACD which illustrate diminishing bearish momentum signal suggests the pair to extend its gains after successfully breakout above the resistance level at 0.6745.
Resistance level: 0.6745, 0.6795
Support level: 0.6695, 0.6635
NZDUSD, H4: NZDUSD was traded higher following prior rebound from the channel’s bottom level. MACD which illustrate diminished downward momentum suggests the pair to extend its rebound toward the resistance level at 0.6325.
Resistance level: 0.6325, 0.6365
Support level: 0.6285, 0.6255
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level at 1.3335. MACD which illustrate bearish bias momentum suggest the pair to extend its losses toward the support level at 1.3275.
Resistance level: 1.3335, 1.3395
Support level: 1.3275, 1.3210
USDCHF, Daily: USDCHF was traded lower following prior breakout below the previous support level at 0.9945. MACD which illustrate downward momentum suggests the pair to extend its losses toward the support level at 0.9885.
Resistance level: 0.9945, 1.0005
Support level: 0.9885, 0.9810
CrudeOIL, H1: Crude oil price was traded higher following prior rebound from the support level at 51.85. MACD which illustrate upward momentum suggests its price to be traded higher toward the direction of 53.55.
Resistance level: 53.55, 54.65
Support level: 51.85, 51.15
GOLD_, H4: Gold price was traded higher following prior breakout above the previous resistance level at 1504.00. MACD which illustrate bullish momentum and the formation of golden cross suggest the commodity to extend its gains toward the resistance level at 1520.25.
Resistance level: 1520.25, 1535.25
Support level: 1504.00, 1485.65