11 December 2019 Morning Session Analysis
Sterling slumped, eyed on Britain election
Pound Sterling slumped despite positive data from the United Kingdom region was released. According to Office for National Statistics, U.K Gross Domestic Product (GDP) for last month came in at 0.0%, exceeding the economist forecast at -0.2%. In addition, U.K. Manufacturing Production for last month notched up from -0.4% to 0.2%, better than the market expectation at 0.1%. However, the overall bearish momentum was mostly due to uncertainty of the Britain’s general election. In fact, despite the polls mostly predict a Conservative Party would win a majority, but some investors would still afraid that such election would lift up some political uncertainty, which might hamper the Pound Sterling. At this time, investors would continue to scrutinize any updates with regards of Brexit to gauge the likelihood movement for Pound Sterling. On the other hand, EUR/USD surged following the optimistic data from the Europe region was released. According to ZEW, Germany ZEW Economic Sentiment notched up from -2.1 to 10.7, better than the economist forecast at 1.1. However, the euro market moves on Tuesday were fairly muted as investors awaited developments from central bank meetings in Europe on Thursday. As of writing, GBP/USD depreciated by 0.25% to 1.3121 while EUR/USD surged 0.02% to 1.1093.
In the commodities market, crude oil price slumped 0.01% to $59.02 per barrel. Crude oil price edged lower following U.S. API Weekly Crude Oil Stock was released. According to American Petroleum Institute, U.S. crude stockpiles rose by 1.14 million for the week ended 6th December 2019. On the other hand, gold price appreciated by 0.04% to $1464.18 per troy ounces amid to trade uncertainty between U.S and China.
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 | Nation & Data | Previous | Forecast | Actual |
| 21:30 | USD – Core CPI (MoM) (Nov) | 0.2% | 0.2% | – |
| 21:30 | USD – CPI (MoM) (Nov) | 0.4% | 0.2% | – |
| 21:30 | CrudeOIL – Crude Oil Inventories | -4.856M | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing the support level at 97.35. MACD which illustrated diminishing bullish momentum suggest the index to extend its losses after it successfully breakout below the support level.
Resistance level: 97.55, 97.85
Support level: 97.35, 97.15
GBPUSD, Daily: GBPUSD was traded higher while currently testing the resistance level at 1.3175. MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.3175, 1.3320
Support level: 1.2965, 1.2765
EURUSD, Daily: EURUSD was traded higher following prior breakout above the previous resistance level at 1.1080. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 1.1165.
Resistance level: 1.1165, 1.1220
Support level: 1.1080, 1.1010
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level at 108.65. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 108.85.
Resistance level: 108.85, 109.10
Support level: 108.65, 108.40
AUDUSD, H4: AUDUSD was traded higher following prior rebound from the support level at 0.6795. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 0.6820.
Resistance level: 0.6820, 0.6850
Support level: 0.6795, 0.6775
NZDUSD, Daily: NZDUSD was traded lower following prior retracement from the resistance level at 0.6575. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 0.6515.
Resistance level: 0.6575, 0.6625
Support level: 0.6515, 0.6460
USDCAD, Daily: USDCAD was traded lower following prior retracement from the resistance level at 1.3265. However, MACD which illustrate diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.3265, 1.3305
Support level: 1.3210, 1.3165
USDCHF, Daily: USDCHF was traded lower following prior breakout below the previous support level at 0.9855. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward the support level at 0.9810.
Resistance level: 0.9855, 0.9900
Support level: 0.9810, 0.9770
CrudeOIL, Daily: Crude oil price was traded higher following prior breakout above the previous resistance level at 58.35. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains toward resistance level at 60.40.
Resistance level: 60.40, 62.75
Support level: 58.55, 56.65
GOLD_, H1: Gold price was traded lower following prior retracement from the resistance level at 1466.30. MACD which illustrated diminishing bullish momentum suggest the commodity to extend its losses toward support level at 1459.60.
Resistance level: 1466.30, 1472.75
Support level: 1459.60, 1452.75