06 August 2021 Afternoon Session Analysis
Aussie slumps despite optimism from RBA.
The Australian dollar which traded against the dollar and other currency pairs remains weak and fell even as RBA Governor Lower sounds optimistic on his latest testimony. According to Reuters, the policymaker stated that the economy has rebound quicker than the forecast while the central scenario is seeing GDP increased by a little over 4 percent in 2022 and expected to be followed by growth of around 2.25 percent in 2023. Despite that, market pays a little heed to the testimony as concerns over Delta variant and NFP also challenge the market sentiment. Australia continues to witness surging record cases in certain areas such as NSW, Queensland and also Sydney which have prompt officials to widen COVID-19 restrictions. On the other hand, pre-NFP cautions also weigh on the risk sentiment which limit huge bet on the Aussie. At the time of writing, AUD/USD fell 0.24% to 0.7385.
In the commodities market, crude oil price rebounds 0.07% to $69.31 per barrel as of writing amid increasing Middle East tensions. According to reports, Israeli jets struck rocket launch sites in Lebanon early on Thursday in response to two rockets fired towards Israel from Lebanese territory, in an escalation of cross-border hostilities amid heightened tensions with Iran. With tensions growing amongst Iran and world powers over last week’s drone attack, nuclear deal talks expected will be lengthy and unlikely to provide imminent sanction relief for Iran. On the other hand, gold price plunged 0.25% to $1800.03 a troy ounce at the time of writing following dollar strength.
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 (Jul) | 850K | 900K | – |
| 20:30 | USD – Unemployment Rate (Jul) | 5.90% | 5.70% | – |
| 20:30 | CAD – Employment Change (Jul) | 230.7K | 150.0K | – |
| 22:00 | CAD – Ivey PMI (Jul) | 71.9 | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level 92.15. MACD which illustrate bullish bias signal suggest the dollar to extend it gains towards the resistance level 92.65.
Resistance level: 92.65, 93.10
Support level: 92.15, 91.60
GBPUSD, H4: GBPUSD was traded flat while currently testing near the support level 1.3890. However, MACD which illustrate bearish bias signal suggest the pair to be traded lower after it breaks below the support level.
Resistance level: 1.3990, 1.4105
Support level: 1.3890, 1.3735
EURUSD, H4: EURUSD was traded lower while currently testing near the support level 1.1810. MACD which illustrate persistent bearish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 1.1880, 1.1950
Support level: 1.1810, 1.1755
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level 109.70. MACD which illustrate bullish momentum signal suggest the pair to extend its gains towards the resistance level 110.40.
Resistance level: 110.40, 111.00
Support level: 109.70, 109.20
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level 0.7415. MACD which illustrate bearish momentum signal with the formation of death cross suggest the pair to extend its retracement towards the support level 0.7330.
Resistance level: 0.7415, 0.7485
Support level: 0.7330, 0.7245
NZDUSD, H4: NZDUSD was traded lower following prior retracement from the resistance level 0.7075. MACD which illustrate bearish momentum signal with the formation of death cross suggest the pair to extend its retracement towards the support level 0.7000.
Resistance level: 0.7075, 0.7135
Support level: 0.7000, 0.6925
USDCAD, H4: USDCAD was traded lower following recent retracement from the resistance level 1.2535. MACD which illustrate bearish bias signal with the recent formation of death cross suggest the pair to extend its losses towards the support level 1.2440.
Resistance level: 1.2535, 1.2600
Support level: 1.2440, 1.2350
USDCHF, H4: USDCHF was traded higher while currently testing near the resistance level 0.9090. MACD which illustrate bullish momentum signal suggest the pair to extend its gains after it breaks above the resistance level.
Resistance level: 0.9090, 0.9135
Support level: 0.9040, 0.8990
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level 68.00. MACD which illustrate bullish momentum signal with the formation of golden cross suggest the commodity to extend its rebound towards the resistance level 70.90.
Resistance level: 70.90, 74.60
Support level: 68.00, 65.65
GOLD_, H4: Gold price was traded lower while currently testing near the support level 1792.10. MACD which illustrate bearish momentum signal suggest the commodity to extend its losses after it breaks below the support level.
Resistance level: 1814.80, 1831.85
Support level: 1792.10, 1762.20