06 February 2023 Afternoon Session Analysis
Downbeat retail sales weigh on Australian dollar.
The Aussie dollar, which was majorly traded by global investors, slammed following the release of the downbeat retail sales data in the nation. According to the Australian Bureau of Statistics, the Australia Retail Sales (MoM) dropped sharply from the reading at 1.7% to -3.9% in January, in line with the consensus forecast. The plunge in the Australian retail sales volume was mainly attributed to the higher borrowing costs, which trimmed the shopper spending in the end of 2022. Albeit, the tightening path of the Reserve Bank of Australia (RBA) is not expected to stopped at the time being, whereby the central bank will likely to hike rate in the upcoming meeting to further cooldown the inflationary pressure in the economy. Nonetheless, the pairing of AUD/USD was dominated by the ‘monster’ job report last Friday. The larger-than-expected jobs added in the month of January showed that the US labor market remained resilient and tight, leaving ample room for the Federal Reserve (Fed) to increase rate further. As of writing, the AUD/USD rebounded 0.27% to 0.6940.
In the commodities market, the crude oil prices were up by 0.48% to $73.45 per barrel after plummeting more than 6% last Friday amid the upbeat NFP report. Besides, gold prices rose by 0.66% to $1877.20 per troy ounce amid the market correction in the post-NFP trading session.
Today’s Holiday Market Close
Time Market Event
All Day NZD National Day
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 17:30 | GBP – Construction PMI (Jan) | 48.8 | 49.6 | – |
| 23:00 | CAD – Ivey PMI (Jan) | 33.4 | 42.3 | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following a prior breakout above the previous resistance level at 101.20. MACD which illustrated bullish bias momentum suggests the index to extend its gains toward the resistance level at 103.15.
Resistance level: 103.15, 105.00
Support level: 101.20, 99.40
GBPUSD, Daily: GBPUSD was traded lower following a prior breakout below the previous support level at 1.2105. MACD which illustrated bearish bias momentum suggest the pair to extend its losses toward the support level at 1.1940.
Resistance level: 1.2105, 1.2200
Support level: 1.1940, 1.1820
EURUSD, Daily: EURUSD was traded lower following a prior breakout below the previous support level at 1.0850. MACD which illustrated bearish bias momentum suggest the pair to extend its losses toward the support level at 1.0670.
Resistance level: 1.0850, 1.0975
Support level: 1.0670, 1.0295
USDJPY, Daily: USDJPY was traded lower while currently testing the support level at 131.25. However, MACD which illustrated bullish bias momentum suggest the pair to undergo technical correction in short term.
Resistance level: 134.15, 136.45
Support level: 131.25, 128.60
AUDUSD, Daily: AUDUSD was traded lower following the prior breakout below the previous support level at 0.6985. MACD which illustrated bearish bias momentum suggest the pair to extend its losses toward the support level at 0.6860.
Resistance level: 0.6985, 0.7125
Support level: 0.6860, 0.6725
NZDUSD, Daily: NZDUSD was traded lower following the prior breakout below the previous support level at 0.6355. MACD which illustrated bearish bias momentum suggest the pair to extend its losses toward the support level at 0.6255.
Resistance level: 0.6355, 0.6460
Support level: 0.6255, 0.6170
USDCAD, Daily: USDCAD was traded higher following the prior breakout above the previous resistance level at 1.3400. MACD which illustrated bullish bias momentum suggests the pair to extend its gains toward the resistance level at 1.3505.
Resistance level: 1.3505, 1.3600
Support level: 1.3400, 1.3265
USDCHF, Daily: USDCHF was traded higher following a prior breakout above the previous resistance level at 0.9225. MACD which illustrated bullish bias momentum suggest the pair to extend its gains toward the resistance level at 0.9310.
Resistance level: 0.9310, 0.9405
Support level: 0.9225, 0.9110
CrudeOIL, Daily: Crude oil price was traded lower following the prior breakout below the trendline. MACD which illustrated bearish bias momentum suggest the commodity to extend its losses toward the support level at 71.50.
Resistance level: 76.10, 81.80
Support level: 71.50, 66.10
GOLD_, Daily: Gold price was traded lower following the prior breakout below the previous support level at 1884.00. MACD which illustrated bearish bias momentum suggests the commodity to extend its losses toward the support level at 1835.00
Resistance level: 1884.00, 1900.00
Support level: 1835.00, 1786.00