5 December 2018 Afternoon Session Analysis
Dollar surged amid Trump tweet.
Greenback edged higher against its six major peers after hitting two weeks low after U.S President Donald Trump agreed to temporarily stop imposing higher tariff on China imported goods last for 90 days. Prior, Donald trump tweeted that China is supposed to start buying more agricultural product from United States immediately as per promised by China Premier Xi Jinping while emphasizing that he is a ‘Tariff Man’ in a tweet. Those tweets obviously indicating that Donald Trump might raise tariff against China imported goods after 90 days trade truce. Such signal has affected the US dollar market sentiment positively and exerted bullish momentum toward the greenback. As of writing, dollar index edged up 0.14% to 96.95. On the other hand, pair of AUD/USD notched down 0.48% to 0.7300 amid downbeat GDP data been released early today. According to Australian Bureau of Statistic, Australia GDP data came in at 0.3% lower than the reading forecasted by economist of 0.6%. The depressing GDP data portrays that the economic activity of Australia is slowing down.
In the commodities market, crude oil tumbled down 0.53% to $52.25 per barrel amid larger than expected build reported in US crude stocks while market participants await OPEC meeting. Next, gold price notched down 0.24% to 1235.30 amid dollar’s rebound.
Today’s Holiday Market Close
Time Market Event
All Day USD Mourning – In Honour of George H.W. Bush
Today’s Highlight Events
Time Market Event
16:30 EUR ECB President Draghi Speaks
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 16:55 | EUR – German Services PMI (Nov) | 53.3 | 53.3 | – |
| 17:30 | GBP – Services PMI (Nov) | 52.2 | 52.5 | – |
| 21:30 | USD – Unit Labor Costs (QoQ) (Q3) | 1.2% | 1.2% | – |
| 22:45 | USD – Services PMI (Nov) | 54.4 | 54.4 | – |
| 22:45 | USD – Markit Composite PMI (Nov) | 54.4 | 54.4 | – |
| 23:00 | CAD – BoC Interest Rate Decision | 1.75% | 1.75% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the top level of downward channel at 97.00. MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to extend its gains after breaking the resistance level at 97.05.
Resistance level: 97.05, 97.20
Support level: 96.90, 96.65
GBPUSD, H4: GBPUSD was traded lower following prior breakout from the support level at 1.2730. MACD histogram which begins to form a death cross signal suggests the pair to extend its losses, towards the direction of 1.2670.
Resistance level: 1.2730, 1.2785
Support level: 1.2670, 1.2620
EURUSD, H4: EURUSD was traded lower in a symmetrical triangle while currently testing near the support level at 1.1330. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses after successfully closing below the support level at 1.1330.
Resistance level: 1.1365, 1.1395
Support level: 1.1330, 1.1270
USDJPY, H4: USDJPY was traded higher following prior rebound from the support level at 112.65. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gain toward the resistance level at 113.20.
Resistance level: 113.20, 113.75
Support level: 112.65, 112.45
AUDUSD, H4: AUDUSD was traded lower while currently testing near the support level at 0.7295. MACD which illustrate bearish momentum suggest the pair to extend its losses after successfully closed below the support level at 0.7295.
Resistance level: 0.7265, 0.7360
Support level: 0.7290, 0.7215
NZDUSD, H1: NZDUSD was traded lower following prior breakout from the support level at 0.6920. MACD which illustrate bearish bias momentum suggest the pair to extend its losses toward the support level at 0.6885.
Resistance level: 0.6920, 0.6955
Support level: 0.6885, 0.6835
USDCAD, H4: USDCAD was traded higher following prior breakout above the previous resistance level at 1.3255. MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to extend its gain toward the resistance level at 1.3295.
Resistance level: 1.3295, 1.3315
Support level: 1.3255, 1.3225
USDCHF, H4: USDCHF was traded higher in sideway channel following prior rebound from the support level at 0.9955. Due to lack of signal from MACD, a retracement from or breakout above the resistance level is required to attain further confirmation before entering the market.
Resistance level: 1.0005, 1.0045
Support level: 0.9955, 0.9920
CrudeOIL, H4: Crude oil was traded lower following prior breakout from the previous support level at 53.20. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 50.10.
Resistance level: 53.20, 55.15
Support level: 50.10, 48.20
GOLD_, H1: Gold was traded lower following prior breakout from the previous support level at 1235.65. MACD which illustrate bearish bias momentum suggest the commodity to extend its losses toward the support level at 1228.50.
Resistance level: 1235.65, 1240.60
Support level: 1228.50, 1223.54