2 July 2021 Morning Session Analysis
Dollar surged amid optimism on NFP.
The Dollar Index which traded against a basket of six major currency pairs extend its gains following upbeat job data was released on yesterday, which spurring positive prospect for the economic progression in the United States. According to Department of Labor, U.S. Initial Jobless Claims had notched down significantly from the previous reading of 415K to 364K, better than the market forecast at 390K. Though, the overall momentum for the US Dollar was remained subdued as market participants still waited for the U.S. Nonfarm Payrolls report to determine whether the Federal Reserve will start to tamper its monetary stimulus sooner rather than later. In earlier, Rapid Covid-19 vaccination rollout have led to more robust economic activity while boosting the U.S. economic growth from the pandemic, spurring expectation that Fed might start to reduce its ultra-easy policy. Nonetheless, the gains experienced by the US Dollar was limited over the backdrop of bearish manufacturing data. According to Institute for Supply Management, U.S. ISM Manufacturing Purchasing Managers Index (PMI) came in at 60.6, weaker than market forecast at 61.0. As of writing, the Dollar Index appreciated by 0.10% to 92.55.
In the commodities market, the crude oil price surged 0.12% to $75.30 per barrel as of writing. The oil market edged higher yesterday amid investors speculated that the OPEC+ producers could increase output more slowly than expected in coming months. On the other hand, the gold price depreciated by 0.07% to 1775.85 per troy ounces as of writing amid strengthening US Dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
20:30 EUR ECB President Lagarde Speaks
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 20:30 | USD – Nonfarm Payrolls (Jun) | 559K | 700K | – |
| 20:30 | USD – Unemployment Rate (Jun) | 5.80% | 5.70% | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior breakout above the previous resistance level at 92.30. However, MACD which illustrated diminishing bullish momentum suggest the index to be traded lower in short-term as technical correction.
Resistance level: 93.25, 94.10
Support level: 92.30, 91.30
GBPUSD, Daily: GBPUSD was traded lower following prior breakout below the previous support level at 1.3790. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 1.3685.
Resistance level: 1.3790, 1.3965
Support level: 1.3685, 1.3565
EURUSD, H4: EURUSD was traded lower while currently near the support level at 1.1845. However, MACD which illustrated bearish bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.1955, 1.2065
Support level: 1.1845, 1.1725
USDJPY, H4: USDJPY was traded higher while currently testing the resistance level at 111.55. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 111.55, 112.15
Support level: 111.15, 110.45
AUDUSD, H4: AUDUSD was traded lower while currently testing the support level at 0.7465. MACD which illustrated diminishing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.7590, 0.7700
Support level: 0.7465, 0.7365
NZDUSD, H4: NZDUSD was traded lower while currently near the support level at 0.6940. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.7120, 0.7300
Support level: 0.6940, 0.6770
USDCAD, H4: USDCAD was traded higher following prior breakout above the previous resistance level at 1.2360. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 1.2480.
Resistance level: 1.2480, 1.2605
Support level: 1.2360, 1.2275
USDCHF, Daily: USDCHF was traded higher following prior breakout above the previous resistance level at 0.9235. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 0.9305.
Resistance level: 0.9305, 0.9375
Support level: 0.9235, 0.9165
CrudeOIL, H1: Crude oil price was traded lower while currently testing the support level at 74.90. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses after it successfully breakout below the support level.
Resistance level: 75.85,76.70
Support level: 74.90, 73.75
GOLD_, H4: Gold price was traded higher while currently testing the resistance level at 1774.10. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 1774.10, 1794.65
Support level: 1754.15, 1735.85