2 May 2019 Afternoon Session Analysis
Aussie rekindled on trade deal hopes, Kiwi plummets.
The Australian Dollar have regained its bullish momentum against the greenback following reports of positive U.S-Sino trade deals. According to reports from CNBC, both economic powerhouse U.S and China could announce a trade deal by next Friday. Officials from both sides have wrapped up the most recent round of exchanges in Beijing on Wednesday. Chinese Vice Premier Liu He will go to Washington for more talks in a week. As China is the largest trading partner of Australia, the Aussie also lifted by the positive news. Pair of AUD/USD rose 0.21% to 0.7025 as of writing. On the other hand, NZD/USD extend losses by 0.12% to 0.6625 at the time of writing following disappointing job data. According to Statistic New Zealand, employment change have decreased by -0.2% which is weaker than expected reading of 0.5%. The weak job data may heighten expectations for an interest rate cut from Reserve Bank Of New Zealand, thus sending market into a sell-off frenzy for the Kiwi.
As for commodities, crude oil price dips 0.27% to $63.38 per barrel as of writing following record on U.S output. According to Energy Information Administration (EIA), U.S. crude stockpiles have rose to their highest since September 2017 last week which the stock jumped by 9.9 million barrels to 470.6 barrels, setting a record high of 12.3 million barrels per day (bpd). Next, gold price slips further 0.20% to $1274.22 per troy ounce as of writing following recovering dollar lifted by recent FOMC meeting.
Today’s Holiday Market Close
Time Market Event
All Day Japan Holiday
All Day China Labor Day
Today’s Highlight Events
Time Market Event
17:00 EUR EU Economic Forecasts
19:00 GBP BoE Inflation Report
19:00 GBP BoE MPC Meeting Minutes
19:30 GBP BoE Gov Carney Speaks
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 15:55 | EUR – German Manufacturing PMI (Apr) | 44.5 | 44.5 | – |
| 16:30 | GBP – Construction PMI (Apr) | 49.7 | 50.4 | – |
| 19:00 | GBP – BoE Interest Rate Decision (May) | 0.75% | 0.75% | – |
| 20:30 | USD – Initial Jobless Claims | 230K | 220K | – |
| 20:30 | USD – Unit Labor Costs (QoQ) (Q1) | 2.0% | 1.5% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently testing near the 20-MA line (green). MACD which illustrate bias bullish signal suggest index to extend its gains after successfully closing above the 20-MA line.
Resistance level: 97.60, 98.25
Support level: 97.00, 96.35
GBPUSD, H4: GBPUSD was traded lower after retracing from the resistance level 1.3105. MACD which display diminishing bullish momentum suggest the pair to extend its retracement towards the support level 1.3015.
Resistance level: 1.3105, 1.3185
Support level: 1.3015, 1.2945
EURUSD, H4: EURUSD was traded higher while currently testing both MA line. However, MACD which display bearish bias signal suggest the pair to undergo short-term technical correction and retrace back towards the support level 1.1185.
Resistance level: 1.1240, 1.1305
Support level: 1.1185, 1.1145
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level 111.35. MACD which illustrate bullish bias signal with the formation of golden cross suggest the pair to extend its gains towards the resistance level 111.75.
Resistance level: 111.75, 112.20
Support level: 111.35, 110.95
AUDUSD, H1: AUDUSD was traded higher while currently testing the 20-MA line (green). MACD which illustrate starting bullish momentum and the formation of golden cross suggest the pair to extend its gains after successfully closing above the 20-MA line.
Resistance level: 0.7050, 0.7090
Support level: 0.7000, 0.6930
NZDUSD, H1: NZDUSD was traded higher while currently testing near the resistance level 0.6635. MACD which illustrate bullish momentum and the starting formation of golden cross suggest the pair to extend its gains after successfully breaking above the resistance level.
Resistance level: 0.6635, 0.6670
Support level: 0.6610, 0.6580
USDCAD, H4: USDCAD was traded higher while currently testing near the resistance level 1.3435. MACD which illustrate bullish momentum with the formation of golden cross suggest the pair to extend its gains after successfully closing above the resistance level.
Resistance level: 1.3435, 1.3485
Support level: 1.3380, 1.3305
USDCHF, H4: USDCHF was traded higher while currently testing near the 20-MA line (green). MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains after successfully closing above the 20-MA line and resistance level 1.0190.
Resistance level: 1.0190, 1.0265
Support level: 1.0100, 0.9980
CrudeOIL, H4: Crude oil price was traded higher while currently testing near the 20-MA line (green). MACD which illustrate persistent bullish momentum suggest the commodity to extend its gains after successfully closing above the 20-MA line.
Resistance level: 64.65, 66.00
Support level: 63.15, 61.85
GOLD_, H4: Gold price traded lower after successfully breaking below the support level 1277.30. MACD which display ongoing bearish momentum suggest gold to extend its losses towards the support level 1266.35
Resistance level: 1277.30, 1285.80
Support level: 1266.35, 1253.25