8 October 2019 Afternoon Session Analysis
Yen slump as hope for resolution of trade-war.
Japanese Yen slump as risk ebbed on caution about the hope of the resolution of the trade war during the U.S. and China trade talk, which stoked a shift in sentiment toward riskier asset. According to Bloomberg 30 Chinese officials led by Vice-Minister of Finance Liao Min entered the US Trade Representative’s office on Monday morning for two days of negotiation. In fact, the White House officially confirmed that the high-level talks, involving Chinese Vice Premier Liu he, US Trade Representative Robert Lighthizer and US Treasure Secretary Steven Mnuchin, would begin on Thursday. As the trade war events has already heavy blow to the American economy and Chinese economy, investors predicted the problem of trade-war would more likely to be solved in order to avoid the economy from further slowdown. In addition, Japanese Yen came under pressure as recent bleak Japanese data was released. According to Statistics Bureau, Japan Household Spending for the month of September came in at 2.4%, lower than the economy forecast at 2.8%. On the other hand, Aussie slump amid poor business confidence index in Australia. National Australia Bank Business Confidence came in at 0, prior to 1. However, since China economy have a significant impact on the Aussie, investors would continue to scrutinize the trade-talk updates to gauge the future movement of the pair. As of writing, USD/JPY rose 0.10% to 107.37 and AUD/USD surged 0.27% to 0.6747.
In the commodities market, the crude oil price surge 0.61% to $53.09 per barrel after the cost of shipping for crude oil from Middle East to north Asia rose 19%, said Reuters. On the other hand, gold price slump 0.14% to 1490.79 per troy ounces due to stronger greenback.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
01:50 (9th) USD Fed Chair Powell Speaks
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 20:30 | USD – PPI (MoM) (Sep) | 0.1% | 0.1% | – |
| 04:30
(9th) |
CrudeOIL – API Weekly Crude Oil Stock | -5.290M | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the previous resistance level at 98.60. MACD which illustrate bullish signal suggests the index to extend its gains toward the next resistance level at 99.20.
Resistance level: 99.20, 99.70
Support level: 98.60, 98.20
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.2325. MACD which illustrate bearish signal suggests the pair to extend its losses toward the support level at 1.2170.
Resistance level: 1.2325, 1.2515
Support level: 1.2165, 1.2020
EURUSD, Daily: EURUSD was traded lower following prior retracement from the downward trend line. However, MACD which illustrate bullish bias momentum suggest the pair to undergo technical correction toward the upward trend line.
Resistance level: 1.1125, 1.1300
Support level: 1.0965, 1.0855
USDJPY, H4: USDJPY was traded higher following prior breakout at 107.00. MACD which illustrate bullish signal suggests the pair to advance further up, towards the direction of 107.80.
Resistance level: 107.80, 108.45
Support level: 107.00, 106.65
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level at 0.6745. MACD which illustrate diminishing bearish momentum signal suggests the pair to extend its gains after successfully breakout above the resistance level at 0.6745.
Resistance level: 0.6745, 0.6795
Support level: 0.6695, 0.6635
NZDUSD, H4: NZDUSD was traded higher following prior rebound from the support level at 0.6285. MACD which illustrate diminished downward momentum suggests the pair to extend its rebound toward the resistance level at 0.6325.
Resistance level: 0.6325, 0.6365
Support level: 0.6285, 0.6255
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level at 1.3335. MACD which illustrate bearish bias momentum suggest the pair to extend its losses toward the support level at 1.3275.
Resistance level: 1.3335, 1.3395
Support level: 1.3275, 1.3210
USDCHF, H4: USDCHF was traded higher following prior rebound from the support of 0.9945. MACD which illustrate diminished downward momentum suggests the pair to be traded higher toward the resistance level at 1.0005.
Resistance level: 1.0005, 1.0050
Support level: 0.9945, 0.9885
CrudeOIL, H1: Crude oil price was traded higher while currently testing the 20 moving average line (Red). MACD which illustrate diminishing downward momentum suggests its price to be traded higher after successfully breakout above the 20 moving average line (Red).
Resistance level: 53.55, 54.65
Support level: 51.85, 51.15
GOLD_, H4: Gold price was traded lower following prior breakout below the previous support level at 1504.00. MACD which illustrate bearish signal suggests the commodity to extend its losses toward the support level at 1485.65.
Resistance level: 1504.00, 1520.25
Support level: 1485.65, 1460.00