05 October 2020 Afternoon Session Analysis
Aussie rebounds amid risk-on mood.
During late Asian session, the Aussie dollar which traded against the greenback and other currency pairs have jumped as Trump’s recovery news combined with optimism over US stimulus deal lifted overall market sentiment. Just weeks before the election, Donald Trump was diagnosed with COVID-19 and flown to hospital for treatment for the coronavirus. However, Donald Trump posted to Twitter on Sunday evening stated that he was “starting to feel good” and expected to return to work shortly. Following the recovery news, market sentiment was mostly lifted. On top of that, President Donald Trump also stated that the U.S ‘wants and needs’ another stimulus which help further boost market mood. At the time of writing, dollar index rose 0.35% to 0.7186.
In the commodities market, crude oil price gains 1.85% to $37.69 per barrel as of writing following news of expanding strike by Norwegian workers. According to reports, Norwegian oil workers have expanded their ongoing strike which could reduce production capacity by 8%. On the other hand, gold price remains steady and edge higher 0.09% to $1899.48 a troy ounce at the time of writing following weak dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
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Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:30 | GBP – Composite PMI (Sep) | 55.7 | 55.6 | – |
| 16:30 | GBP – Services PMI (Sep) | 55.1 | 55.0 | – |
| 22:00 | USD – ISM Non-Manufacturing PMI (Sep) | 56.9 | 56.3 | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing the support level 93.65. However, MACD which illustrate diminishing bullish momentum signal suggest the dollar to be traded lower after it breaks below the support level.
Resistance level: 96.65, 95.70
Support level: 93.65, 92.70
GBPUSD, H4: GBPUSD remain traded in a sideway channel. Due to lack of momentum and clear direction from MACD, it is suggested to wait until further signal appear before entering the market.
Resistance level: 1.3005, 1.3260
Support level: 1.27775, 1.2510
EURUSD, H4: EURUSD was traded flat while currently testing near the resistance level 1.1750. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to be traded higher after it breaks above the resistance level.
Resistance level: 1.1750, 1.1890
Support level: 1.1595, 1.1455
USDJPY, H4: USDJPY remain traded in a sideway channel following recent rebound from the support level 105.15. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to extend its rebound in short term towards the resistance level 105.90.
Resistance level: 105.90, 106.45
Support level: 105.15, 104.25
AUDUSD, H4: AUDUSD was traded higher while currently testing near the resistance level 0.7200. MACD which illustrate diminishing bearish momentum signal suggest the pair to extend its gains after it breaks above the resistance level 0.7200.
Resistance level: 0.7200, 0.7340
Support level: 0.7105, 0.6970
NZDUSD, H4: NZDUSD was traded higher following prior rebound from the MA lines. MACD which illustrate bullish bias signal suggest the pair to extend its gains towards the resistance level 0.6685.
Resistance level: 0.6685, 0.6775
Support level: 0.6595, 0.6510
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level 1.3330. MACD which illustrate ongoing bearish bias signal suggest the pair to extend its retracement towards the support level 1.3230.
Resistance level: 1.3330, 1.3455
Support level: 1.3230, 1.3115
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level 0.9200. MACD which display bearish bias signal suggest the pair to extend its retracement towards the support level 0.9035.
Resistance level: 0.9200, 0.9370
Support level: 0.9035, 0.8880
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level 36.55. MACD which illustrate diminishing bearish momentum signal suggest the commodity to extend its rebound towards the resistance level 39.00.
Resistance level: 39.00, 41.35
Support level: 36.55, 34.70
GOLD_, H4: Gold price was traded lower following prior retracement from the resistance level 1903.75. MACD which illustrate bearish bias signal with the formation of death cross suggest the commodity to extend its retracement towards the support level 1854.20.
Resistance level: 1903.75, 1970.55
Support level: 1854.20, 1790.05