05 October 2020 Morning Session Analysis
Dollar slumped following Trump tested positive for COVID-19.
The Dollar Index which gauges its value against a basket of six major currencies slumped following the U.S. President Donald Trump tested positive for Coronavirus, which accelerating further geopolitical risk in the United States while prompting the investors to shift their portfolio toward another safe-haven currency such as Japanese Yen. According to Reuters, the U.S. President Donald Trump, who had played down the threat of the coronavirus pandemic for months, said he and his wife Melania had tested positive for Coronavirus and were going into quarantine. On the U.S. economic data front, the US Dollar received further bearish momentum over the backdrop of negative NFP data on last Friday. According to Bureau of Labor Statistics, the U.S. Nonfarm Payrolls came in at only 661K, worse than the market forecast at 850K. Nonetheless, the losses experienced by the US Dollar was limited following the U.S. Unemployment rate notched down from the previous reading of 8.4% to 7.9%, slightly better than the economist forecast at 8.2%. Nonetheless, as for now investors would continue to eye on the U.S. President Donald Trump’s condition as well as further economic data as crucial catalysts in order to receive further trading signal. As of writing, the Dollar Index slumped 0.01% to 93.85.
In the commodities market, the crude oil price slumped 0.35% to $37.16 per barrel as of writing. The oil market edged lower amid rising geopolitical tensions in the United States before the U.S. President election and spiking numbers of the coronavirus had spurred significant uncertainty toward the future economic outlook, which sapping the demand on this black-commodity. On the other hand, the gold price appreciated by 0.16% to $1901.25 per troy ounces amid weakening in US Dollar.
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 |
| 16:30 | 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 at 93.70. However, MACD which illustrated increasing bullish momentum suggest the index to be traded higher in short-term as technical correction.
Resistance level: 94.70, 96.05
Support level: 93.70, 92.75
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.2975. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.2975, 1.3195
Support level: 1.2725, 1.2555
EURUSD, H4: EURUSD was traded lower following prior retracement from the resistance level at 1.1760. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 1.1615.
Resistance level: 1.1760, 1.1880
Support level: 1.1615, 1.1415
USDJPY, H4: USDJPY was traded within a range while currently testing the support level at 105.40. MACD which illustrated diminishing bearish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 106.70, 108.00
Support level: 105.40, 104.60
AUDUSD, H4: AUDUSD was traded higher following prior rebound from the support level at 0.7145. However, MACD which illustrated increasing bearish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.7205, 0.7260
Support level: 0.7145, 0.7110
NZDUSD, H4: NZDUSD was traded within a range while currently testing the support level at 0.6610. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower after it successfully breakout below the support level.
Resistance level: 0.6755, 0.6880
Support level: 0.6610, 0.6510
USDCAD, H4: USDCAD was traded lower while currently testing the support level at 1.3275. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.3395, 1.3525
Support level: 1.3275, 1.3190
USDCHF, H4: USDCHF was traded lower while currently testing the support level at 0.9175. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.9275, 0.9385
Support level: 0.9175, 0.9075
CrudeOIL, H4: Crude oil price was traded lower while currently testing the support level at 37.00. However, MACD which illustrated diminishing bearish momentum suggest the commodity to be traded higher in short-term as technical correction.
Resistance level: 38.05, 39.25
Support level: 37.00, 36.10
GOLD_, H4: Gold price was traded lower following prior retracement from the resistance level at 1916.00. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses toward support level at 1852.15.
Resistance level: 1916.00, 1954.85
Support level: 1852.15, 1813.70