7 February 2020 Afternoon Session Analysis
Dollar remain steady ahead of NFP.
The U.S dollar which traded against a basket of six major currency pairs remains firm during late Asian session while market awaits for upcoming NFP. Recent positive data from U.S and China’s stimulus measure have continue to provide some relief for the market. However, market remains cautious as the ongoing coronavirus continue to weigh on the market. The number of death have surpassed 600 while the number of infected also soared to more than 30000. The uncertainty about the impact of the epidemic on global growth will keep the market in aware. Still, market sentiment also supported by central bank stimulus and Thursday’s surprise Chinese announcement of tariff cuts on U.S. imports. Investors will now focus on NFP to attain further confirmation for the direction. As of writing, dollar index rose 0.02% to 98.45.
In the commodities market, crude oil price slips 0.03% to $51.02 per barrel at the time of writing on sign of supply glut and uncertainty over coronavirus. Market continue to expect that the commodity oversupply will persist, as the deadly outbreak dents travel and diminished consumption of fuels and crude. Chinese consumption already cut by about a fifth since the outbreak, according to sources. On the other hand, gold price slips 0.02% to $1566.33 following the strength of the greenback.
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 |
| 21:30 | USD – Nonfarm Payrolls (Jan) | 145K | 160K | – |
| 21:30 | USD – Unemployment Rate (Jan) | 3.5% | 3.5% | – |
| 21:30 | CAD – Employment Change (Jan) | 35.2K | 20.5K | |
| 23:00 | CAD – Ivey PMI (Jan) | 51.9 | 53.3 | |
| 02:00
(8th) |
CrudeOIL – U.S. Baker Hughes Oil Rig Count | 675 | – | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior breakout above the previous resistance level at 98.20. MACD which illustrate bullish signal suggests the pair to extend its gains toward the resistance level at 98.65.
Resistance level: 98.65, 99.05
Support level: 98.20, 97.70
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the lower level. MACD which illustrate bullish signal suggests the pair to extend its gains toward the resistance level at 1.2965.
Resistance level: 1.2965, 1.3035
Support level: 1.2895, 1.2820
EURUSD, Daily: EURUSD was traded lower following prior breakout below the previous support level at 1.1000. MACD which illustrate bearish momentum signal suggests the pair to extend its losses toward the support level at 1.0960.
Resistance level: 1.1000, 1.1035
Support level: 1.0960, 1.0895
USDJPY, Daily: USDJPY was traded higher following prior breakout above the previous resistance level at 109.60. MACD which illustrate bullish bias momentum signal suggests the pair to extend its gains toward the resistance level at 110.20.
Resistance level: 110.20, 110.55
Support level: 109.60, 109.25
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level at 0.6750. MACD which illustrate bearish momentum signal suggests the pair to extend its losses toward the support level at 0.6705.
Resistance level: 0.6750, 0.6805
Support level: 0.6705, 0.6685
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level at 0.6455. MACD which illustrate bearish signal suggests the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.6490, 0.6535
Support level: 0.6455, 0.6430
USDCAD, Daily: USDCAD was traded higher following prior breakout above the previous resistance level at 1.3265. MACD which illustrate diminishing upward momentum suggests the pair to be traded lower in short-term as technical correction.
Resistance level: 1.3335, 1.3395
Support level: 1.3265, 1.3210
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level at 0.9750. MACD which illustrate diminishing bullish momentum signal suggests the pair to extend its losses toward the support level at 0.9705.
Resistance level: 0.9750, 0.9810
Support level: 0.9705, 0.9690
CrudeOIL, H1: Crude oil price was traded lower following prior retracement from the higher level. Due to lack of signal from MACD, it is suggested to wait for further confirmation before entering into the market.
Resistance level: 51.75, 52.60
Support level: 50.85, 49.65
GOLD_, H1: Gold price was traded lower following prior retracement from the higher level. MACD which illustrate bearish momentum suggests its price to be traded lower toward the support level at 1564.15.
Resistance level: 1571.35, 1578.25
Support level: 1564.15, 1558.00