04 January 2022 Afternoon Session Analysis
Euro slumped amid bearish data.
The Euro received bearish momentum over the backdrop of negative economic data from the European region. According to Markit Economics, Germany Manufacturing Purchasing Managers Index (PMI) came in at 57.4, missing the market forecast at 57.9. The Germany’s manufacturing production continued to be marred by supply constraints in December. The supply shortage and increase in energy prices would increase the costs for the manufacturing industry, which prompting them to pass the additional costs to consumers while spurring inflation risk in future. On the Covid-19 front, France has reported a record 179,807 cases on Tuesday, while other countries like Italy, Greece, Portugal and England all reported record highs too. The spiking numbers of the Covid-19 cases would increase odds for the authorities to re-implement the Covid-19 restrictions, which dragging down the appeal for the Euro. As of writing, EUR/USD depreciated by 0.05% to 1.1300.
In the commodities market, the crude oil price appreciated by 0.42% to $76.55 per barrel as of writing. Nonetheless, the overall momentum for this black-commodity still remained flat as investors still wait for further catalyst during the OPEC meeting today to receive further trading signal. On the other hand, the gold price slumped 0.05% to $1803.55 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
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:55 | EUR – German Unemployment Change (Dec) | -34K | -15K | – |
| 17:30 | GBP – Manufacturing PMI (Dec) | 57.6 | 57.6 | – |
| 23:00 | USD – ISM Manufacturing PMI (Dec) | 61.1 | 60.4 | – |
| 23:00 | USD – JOLTs Job Openings (Nov) | 11.033M | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level at 95.65. MACD which illustrated increasing bullish momentum suggest the index to extend its gains toward resistance level at 96.85.
Resistance level: 96.85, 97.50
Support level: 95.65, 94.90
GBPUSD, H4: GBPUSD was traded lower while currently testing the support level at 1.3445. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.3545, 1.3615
Support level: 1.3445, 1.3350
EURUSD, H4: EURUSD was traded lower following prior retracement from the resistance level at 1.1345. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.1345, 1.1440
Support level: 1.1235, 1.1175
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level at 115.40. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 116.80.
Resistance level: 116.80, 117.85
Support level: 115.40, 114.20
AUDUSD, Daily: AUDUSD was traded lower while currently testing the support level at 0.7175. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.7365, 0.7535
Support level: 0.7175, 0.6995
NZDUSD, H4: NZDUSD was traded lower following prior retracement from the resistance level at 0.6840. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.6840, 0.6920
Support level: 0.6710, 0.6570
USDCAD, Daily: USDCAD was traded higher following prior rebound from the support level at 1.2625. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 1.2825.
Resistance level: 1.2825, 1.2940
Support level: 1.2625, 1.2520
USDCHF, Daily: USDCHF was traded higher while currently testing the resistance level at 0.9175. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.9175, 0.9260
Support level: 0.9105, 0.9035
CrudeOIL, H4: Crude oil price was traded lower while currently testing the support level at 75.30. However, MACD which illustrated diminishing bearish momentum suggest the commodity to be traded higher in short-term as technical correction.
Resistance level: 79.00, 81.35
Support level: 75.30, 72.70
GOLD_, H4: Gold price was traded lower while currently testing the support level at 1798.90. MACD which illustrated increasing bearish momentum suggest the commodity to extend tis losses after it successfully breakout below the support level.
Resistance level: 1812.85, 1830.55
Support level: 1798.90, 1786.30