07 June 2019 Morning Session Analysis
Dollar tumbles following weak employment data.
Dollar index have fell against its basket of six major currency rivals as the employment data release on Thursday disappoints further. According to the U.S Department of Labor, the number of filing for unemployment insurance in May have surge to 218K, higher than economist’s expectation with the reading of 215K. Besides that, Challenger Job Cuts data showed that corporate layoff also have increased with the reading 85.9% which is higher than the previous reading of 10.9%. The data have signaled a weakening labor condition in the U.S which added more bets on Federal Reserve to reduce it interest rate. Investor will now focus on tonight’s Non-Farm Payroll data to further confirm the labor market condition and determine greenback’s direction. Dollar index slips 0.03% to 96.92 as of writing. Meanwhile, EUR/USD fell 0.03% to 1.1271 at the time of writing as dovish ECB pushed rate change into mid-2020. According to official statement, ECB President Mario Draghi have announced that the three main rates would remain unchanged (as expected) at least through the first half of 2020, extending the ‘’patient” forward guidance period, from “the end of 2019”.
As for commodities market, crude oil price rose 0.09% to $53.08 per barrel as of writing following a report of possible tariff delay on Mexico. According to reports from Bloomberg News, the United States is considering a delay in the tariffs on Mexico as talks continue. As Mexico is one of the major buyers of U.S energy, the report have regain back investors’ confidence. At the same time, Russia President Vladimir Putin stated that Russia had differences with OPEC over what constituted a fair price for oil, but that Moscow would take a joint decision on output at a policy meeting in coming weeks. Lastly, gold price fell 0.15% to $1333.37 as of writing following market profit taking on the commodity despite elevated risk.
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 | Market & Data | Previous | Forecast | Actual |
| 20.30 | USD – Nonfarm Payroll | 263K | 185K | – |
| 20.30 | USD – Average Hourly Earnings (MoM) (May) | 0.2% | 0.3% | – |
| 20.30 | USD – Unemployment Rate (May) | 7.3% | – | – |
| 20.30 | CAD – Employment Change (May) | 106.5K | 8.0K | – |
| 20.30 | CAD – Unemployment Rate (May) | 5.7% | 5.7% | – |
| 01.00 (8th) | CrudeOIL – Baker Hughes Oil Rig Count | 800 | – | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded higher while currently testing the resistance level at 96.95. MACD which illustrate diminishing bearish momentum suggests the index to extend its gains after successfully breakout above the resistance level at 96.95.
Resistance level: 96.95, 97.40
Support level: 96.70, 96.35
GBPUSD, H4: GBPUSD was traded lower while currently testing the support level at 1.2695. MACD which illustrate bearish momentum and the formation of death cross suggests the pair to extend its losses after successfully breakout below the support level at 1.2695.
Resistance level: 1.2745, 1.2795
Support level: 1.2695, 1.2610
EURUSD, H1: EURUSD was traded lower following prior breakout below the previous support level at 1.1280. MACD which illustrate diminishing bullish momentum and the formation of death cross suggests the pair to extend its losses toward the support level at 1.1245.
Resistance level: 1.1280, 1.1320
Support level: 1.1245, 1.1210
USDJPY, H1: USDJPY was traded lower while currently testing the support level at 108.40. MACD which illustrate bearish momentum suggests the pair to extend its losses after successfully breakout below the support level at 108.40.
Resistance level: 108.80, 109.20
Support level: 108.40, 107.85
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level at 0.6995. MACD which illustrate bearish bias momentum suggest the pair to extend its losses toward the support level at 0.6960.
Resistance level: 0.6995, 0.7025
Support level: 0.6960, 0.6935
NZDUSD, H4: NZDUSD was traded lower following prior retracement from the resistance level at 0.6640. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 0.6600.
Resistance level: 0.6640, 0.6670
Support level: 0.6600, 0.6570
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level at 1.3390. MACD which illustrate bearish momentum and the formation of death cross suggests the pair to extend its losses toward the support level at 1.3345.
Resistance level: 1.3390, 1.3420
Support level: 1.3345, 1.3310
USDCHF, H1: USDCHF was traded higher following prior rebound from the support level at 0.9885. MACD which illustrate bullish momentum and the formation of golden cross suggests the pair to extend its gains toward the next resistance level at 0.9925.
Resistance level: 0.9925, 0.9965
Support level: 0.9885, 0.9855
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 52.80. MACD which illustrate bullish momentum suggests the commodity to extend its gains toward the resistance level at 54.30.
Resistance level: 54.30, 55.90
Support level: 52.80, 51.50
GOLD_, H4: Gold price was traded lower following prior retracement from the resistance level at 1340.75. MACD which illustrate bearish momentum suggest the commodity to extend its losses toward the support level at 1331.35.
Resistance level: 1340.75, 1353.65
Support level: 1331.35, 1322.30