05 January 2021 Morning Session Analysis
Pound slumped over the national lock-down measure.
Pound Sterling slumped significantly following the UK Prime Minister reimposed a harsh lockdown in England on Monday as a more transmissible variant of Covid-19 fuels a surge in infections and hospitalization in the country. According to CNN, UK Prime Minister Boris Johnson reimposed measures similar to the first lockdown last spring, including closures of primary and secondary schools. In fact, people will be only allowed to leave their homes for limited reasons like shopping for essentials, exercise and medical assistance. On the Covid-19 pandemic front, the UK had recorded a new daily Covid-19 infection with more than 50,000 cases in nearly a week, and hospitalizations exceed April’s peak. Meanwhile, there were 30% more Covid-19 patients in hospitals in England on Monday than a week earlier. Indeed, the health ministry had claimed that the country would move to the highest Covid-19 alert level, spurring worries that the rising number of hospitalizations could overwhelm the country’s National Health Service (NHS) in coming weeks. As of writing, GBP/USD slumped 0.05% to 1.3570.
In the commodities market, the crude oil price depreciated by 0.05% to $47.23 per barrel as of writing. The oil market slumped significantly amid worries about the spiking numbers of Covid-19 infections had outweighed the vaccine hopes. Nonetheless, as of writing investors would continue to scrutinize the latest updates with regards of the OPEC+ meeting in order to gauge the likelihood movement for this black-commodity. On the other hand, the gold price surged 0.11% to $1944.95 per troy ounces as of writing amid diminishing risk appetite in the FX market, which insinuating market demand on the safe-haven asset.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
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Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:55 | EUR – German Unemployment Change (Dec) | -39K | 10K | – |
| 23:00 | USD – ISM Manufacturing PMI (Dec) | 57.5 | 56.6 | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level at 89.55. MACD which illustrated increasing bullish momentum suggest the index to extend its gains toward resistance level at 90.50.
Resistance level: 90.50, 91.10
Support level: 89.55, 88.55
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.3590. MACD which illustrated increasing bearish momentum suggest the pair to extend its loses toward support level at 1.3495.
Resistance level: 1.3590, 1.3685
Support level: 1.3495, 1.3420
EURUSD, H4: EURUSD was traded lower following prior retracement from the resistance level at 1.2305. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.2305, 1.2450
Support level: 1.2205, 1.2130
USDJPY, Daily: USDJPY was traded lower while currently testing the support level at 103.05. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 103.75, 104.55
Support level: 103.05, 102.00
AUDUSD, Weekly: AUDUSD was traded higher following prior breakout above the previous resistance level at 0.7570. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.7860, 0.8135
Support level: 0.7570, 0.7130
NZDUSD, Weekly: NZDUSD was traded higher following prior breakout above the previous resistance level at 0.7110. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.7340, 0.7550
Support level: 0.7110, 0.6905
USDCAD, Daily: USDCAD was traded higher following prior rebound from the support level at 1.2690. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.2980, 1.3295
Support level: 1.2690, 1.2415
USDCHF, Weekly: USDCHF was traded lower while currently testing the support level at 0.8720. MACD which illustrated diminishing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.9070, 0.9285
Support level: 0.8720, 0.8350
CrudeOIL, H4: Crude oil price was traded lower following prior breakout below the previous support level at 47.90. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses toward support level at 46.55.
Resistance level: 49.25, 50.00
Support level: 46.55, 45.55
GOLD_, H4: Gold price was traded higher following prior breakout above the previous resistance level at 1930.55. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 1950.55, 1976.65
Support level: 1930.55, 1912.45