5 June 2020 Morning Session Analysis
Euro surged after ECB unleash another round of bond purchase.
Euro which act as a single currency in Eurozone skyrocketed to the highest level in three months after European Central Bank (ECB) announced to expand its unfolding stimulus package massively on yesterday. In the press conference, ECB’s chairman Christine Lagarde added a futher rescue plan which included raising its bond purchases by 600 billion euros, where this plan will be implemented along the period until end of June 2021. This stimulus package came just months after first raft of crisis measure, taking the total amount to 1.35 trillion euros since the outbreak of novel pandemic. Besides, ECB also decided to remain its interest rate unchanged at the current low level as Eurozone are still haunted by the negative effect of Covid-19. It is also noteworthy that Christine Lagarde reiterated that EU area economy is experiencing ‘unprecedented contraction’ as the virus halted the entire nation economy activity, where government was being forced to implement lockdown measures to combat the virus. During early Asian trading session, the pair of EUR/USD rose 0.01% to 1.1340.
In the commodities market, the crude oil price depreciates by 0.02% to $37.30 per barrel as OPEC+ production pact extensions remains unclear. According to the recent news, OPEC and its allies most likely will rescheduled its meeting to mid-June after full review of compliance data. Besides, gold prices surged 0.08% to $1715.55 a troy ounce due to weakening of 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 |
| 20:30 | USD – NonFarm Payrolls (May) | -20,537K | -8,000K | – |
| 20:30 | USD – Unemployment rate (May) | 14.7% | 19.8% | – |
| 20:30 | CAD – Employment Change (May) | -1,993.8K | -500.0K | – |
| 22:00 | CAD – Ivey PMI (May) | 22.8 | – | – |
| 01:00
(6th) |
CrudeOIL – U.S. Baker Hughes Oil Rig Count | 222 | – | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded lower while currently testing the support level at 96.85. MACD which illustrate bearish bias momentum suggest the pair to extend its losses after it successfully breakout below the support level at 96.85.
Resistance level: 97.60, 98.25
Support level: 96.85, 95.95
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.2625. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level at 1.2625.
Resistance level: 1.2625, 1.2750
Support level: 1.2495, 1.2435
EURUSD, H1: EURUSD was traded higher following prior rebound from the lower level. However, MACD which illustrate diminishing bullish momentum signal suggest the pair to undergo technical correction toward the lower level.
Resistance level: 1.1345, 1.1400
Support level: 1.1305, 1.1250
USDJPY, Daily: USDJPY was traded higher following prior breakout above the previous resistance level at 108.20. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 109.40.
Resistance level: 109.40, 111.35
Support level: 108.20, 107.20
AUDUSD, Daily: AUDUSD was traded higher following prior breakout above the previous resistance level at 0.6810. MACD which illustrates bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 0.7005.
Resistance level: 0.7005, 0.7205
Support level: 0.6810, 0.6655
NZDUSD, H4: NZDUSD was traded higher following prior breakout above the previous resistance level at 0.6430. However, MACD which illustrates diminishing bullish momentum suggest the pair to undergo technical correction in short term.
Resistance level: 0.6490, 0.6540
Support level: 0.6430, 0.6385
USDCAD, Daily: USDCAD was traded lower following prior breakout below the previous support level at 1.3670. MACD which illustrates bearish bias momentum suggest the pair to extend its losses toward the support level at 1.3380.
Resistance level: 1.3670, 1.3855
Support level: 1.3380, 1.3095
USDCHF, H4: USDCHF was traded lower following prior breakout below the previous support level at 0.9575. MACD which illustrates bearish bias momentum signal suggest the pair to extend its losses toward the support level at 0.9505.
Resistance level: 0.9575, 0.9595
Support level: 0.9505, 0.9425
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the lower level. MACD which illustrate diminishing bearish momentum suggest the commodity to extend its gains toward the resistance level at 38.00.
Resistance level: 38.00, 41.05
Support level: 34.35, 31.25
GOLD_, H1: Gold price was traded lower following prior retracement from the resistance level at 1718.20. MACD which illustrate diminishing bullish momentum signal suggest the commodity to extend its losses toward the support level at 1709.45.
Resistance level: 1718.20, 1727.45
Support level: 1709.45, 1695.15