5 May 2020 Morning Session Analysis
Euro sinks amid economy hit hard by pandemic.
Among all the major currencies market, euro currency was traded lower following the release of downbeat economic data from Europe region. According to the Markit Economics, Germany Manufacturing PMI was came in at 34.5, slightly higher than the economist forecast of 34.4 while lower than the previous month reading of 45.4. The credential drop in Germany output was mainly due to large number of manufacturers either temporarily closed down their factories or shorten the working hour to abide the rules of economy’s shutdown, as an effort to combat the negative effect of Covid-19. Since the outbreak of coronavirus, the pandemic has sent the global economy into recession, particularly the worst-hit countries like Italy, France and Germany. As of now, market participants are still having pessimistic view toward the future outlook of EU’s economy growth despite more manufacturers start get back to steam as fast-spreading pandemic are still acting as a big stumbling block which putting the global demand into the doubt. During Asian early trading session, the pair of EUR/USD dropped 0.02% to 1.0905.
In the commodities market, crude oil price depreciates 0.02% to $21.10 per barrel as market worries over supply glut persists while heightening of tensions between US and China tempered the black commodity market outlook. Besides, gold price up 0.03% to $1702.00 a troy ounce amid market concerned over crisis of Covid-19.
Today’s Holiday Market Close
Time Market Event
All Day JPY Special Holiday
All Day CNY Labor Day
Today’s Highlight Events
Time Market Event
12:30 AUD RBA Rate Statement
Tentative EUR EU Economic Forecasts
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 12:30 | AUD – RBA Interest Rate Decision | 0.25% | 0.25% | – |
| 16:30 | GBP – Composite PMI (Apr) | 36.0 | 12.9 | – |
| 16:30 | GBP – Construction PMI (Apr) | 39.3 | 44.0 | – |
| 16:30 | GBP – Services PMI (Apr) | 12.3 | 12.2 | – |
| 22:00 | USD – ISM Non-Manufacturing PMI (Apr) | 52.5 | 44.0 | – |
| 04:30
(6th) |
CrudeOIL – API Weekly Crude Oil Stock | 10.000M | – | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior rebound from the lower level. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 99.75.
Resistance level: 99.75, 100.85
Support level: 98.30, 97.60
GBPUSD, H4: GBPUSD was traded higher following prior rebound near the support level at 1.2435. MACD which illustrate diminishing bearish momentum signal suggest the pair to be traded higher toward the resistance level at 1.2520.
Resistance level: 1.2520, 1.2620
Support level: 1.2435, 1.2370
EURUSD, Daily: EURUSD was traded lower following prior breakout below the previous support level at 1.0940. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses toward the support level at 1.0830.
Resistance level: 1.0940, 1.1025
Support level: 1.0830, 1.0765
USDJPY, Daily: USDJPY was traded lower following prior retracement from the resistance level at 107.20. MACD which illustrate bearish bias momentum signal suggest the pair to extend its losses toward the support level at 106.25.
Resistance level: 107.20, 108.20
Support level: 106.25, 104.50
AUDUSD, Daily: AUDUSD was traded higher following prior rebound from the 20 moving average line (Red). However, MACD which illustrate diminishing bullish momentum with the formation of death cross suggest the pair to undergo technical correction in short term.
Resistance level: 0.6460, 0.6705
Support level: 0.6180, 0.5975
NZDUSD, H4: NZDUSD was traded higher while currently testing the resistance level at 0.6055. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.6055, 0.6120
Support level: 0.5995, 0.5945
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level at 1.4120. MACD which illustrate diminishing bullish momentum suggests the pair to extend its retracement toward the support level at 1.3980.
Resistance level: 1.4120, 1.4240
Support level: 1.3980, 1.3855
USDCHF, H4: USDCHF was traded higher while currently testing the resistance level at 0.9660. MACD which illustrate bullish bias momentum suggest the pair to extend its gains after it successfully breakout above the resistance level at 0.9660.
Resistance level: 0.9660, 0.9710
Support level: 0.9585, 0.9510
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level at 18.05. MACD which illustrate bullish bias momentum suggest the commodity to extend its gains toward the resistance level at 21.80.
Resistance level: 21.80, 25.85
Support level: 18.05, 15.70
GOLD_, H4: Gold price was traded lower following prior retracement from the resistance level at 1711.25. MACD which illustrate diminishing bullish momentum signal suggest the commodity to be traded lower toward the support level at 1699.75.
Resistance level: 1711.25, 1718.20
Support level: 1699.75, 1683.50