3 September 2019 Morning Session Analysis
Pound tumbled amid Brexit dispute, dollar strengthen.
Dollar index extended its gains against its major currency’s peers despite escalation of trade dispute between US and China continues to haunt the FX market. Based on the recent news, China and US is bound to set a September meeting for trade talk after Washington rejected to delay the implementation of additional tariff on 1st September. On China side, Beijing has lodged a complaint against US regarding to recent successive tariff’s imposition on China imported goods to US. The legal case does not reveal too much of details from China, while the latest tariff actions has violated the consensus between US and China during G20 Osaka meeting. As of writing, dollar index quoted up 0.16% to 98.95. On the other side, the pair of GBP/USD inched down 0.02% to 1.2065 ahead the battle of parliament between Boris Johnson and the opposition parties. At the moment, opposition parties have formed an alliance and planning to seize control of the House of Common’s agenda in order to stop a no deal Brexit while 21 member of conservative party itself also poised a vote to show their supportiveness against the government. However, Boris Johnson is still remain its ‘style’ and insists to withdraw UK from Eurozone before the deadline on 31th October and no extension will be asked.
As for commodities, oil price rose 0.05% to $54.70 per barrel amid hurricane Dorian gradually invaded the U.S East Coast this week. The approach of unexpected strong hurricane increased the fear of market as it is expected to affect the supply of crude oil in US if it passes into Gulf of Mexico. Besides, gold price fall 0.18% to $1526.15 a troy ounce as heightening of market risk sentiment diminished the appealing of gold.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
12:30 AUD RBA Rate Statement
05:00 (4th) USD FOMC Member Rosengren Speaks
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 12:30 | AUD – RBA Interest Rate Decision (Sep) | 1.00% | 1.00% | – |
| 16:30 | GBP – Construction PMI (Aug) | 45.3 | 45.9 | – |
| 22:00 | USD – ISM Manufacturing PMI (Aug) | 51.2 | 51.1 | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior breakout above the previous resistance level at 98.95. MACD which illustrate bullish bias momentum suggest dollar to extend its gains toward the next resistance level at 99.40.
Resistance level: 99.40, 99.70
Support level: 98.95, 98.65
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.2085. MACD which illustrate bearish bias momentum suggest the pair to extend its losses toward the support level at 1.2015.
Resistance level: 1.2085, 1.2125
Support level: 1.2015, 1.1980
EURUSD, H1: EURUSD was traded lower following prior retracement from the 20 moving average line (Red). MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses towards the support level at 1.0930.
Resistance level: 1.0985, 1.1030
Support level: 1.0930, 1.0865
USDJPY, Daily: USDJPY was traded higher while currently testing the resistance level at 106.20. MACD which illustrate bullish bias momentum suggest the pair to extend its gains after successfully breakout above the resistance level at 106.20.
Resistance level: 106.20, 106.65
Support level: 106.20, 105.60
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level at 0.6750. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 0.6695.
Resistance level: 0.6750, 0.6795
Support level: 0.6695, 0.6635
NZDUSD, H4: NZDUSD was traded lower following prior breakout below the previous support level at 0.6330. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses toward the support level at 0.6270.
Resistance level: 0.6330, 0.6395
Support level: 0.6270, 0.6200
USDCAD, H4: USDCAD was traded higher while currently testing the resistance level at 1.3335. MACD which illustrate bullish bias momentum suggest the pair to extend its gains after successfully breakout above the resistance level at 1.3335.
Resistance level: 1.3335, 1.3385
Support level: 1.3275, 1.3220
USDCHF, H4: USDCHF was trade higher following prior breakout above the previous resistance level at 0.9890. However, MACD which illustrate bearish momentum suggest the pair to undergo short term technical correction toward the support level at 0.9890.
Resistance level: 0.9945, 1.0005
Support level: 0.9890, 0.9840
CrudeOIL, H4: Crude oil price was traded lower while currently testing the support level at 54.65. However, MACD which illustrate diminishing bearish momentum suggest the commodity to be traded higher in short term toward the resistance level at 55.90.
Resistance level: 55.90, 56.80
Support level: 54.75, 53.00
GOLD_, H4: Gold price was traded lower while currently testing the 50 moving average line (Blue). MACD which display diminishing bearish momentum suggest the commodity to undergo short term technical correction toward the resistance level at 1526.90.
Resistance level: 1526.90, 1548.05
Support level: 1507.10, 1490.00