8 November 2021 Afternoon Session Analysis
Pound remains weak amid Brexit risk.
The pound sterling which traded against the dollar and other currency pairs have fell amid increasing risk of Brexit between U.K and E.U. According to the latest development, the UK government is ready to trigger article 16 in the Brexit agreement after recent negotiations on the Northern Ireland Protocol failed to achieve any positive progress. Irish Foreign Minister Simon Coveney commented that the triggering of article 16 will further worsen the relationship between the UK and the EU is likely to lead to trade war. He stated that the EU will respond in a very serious way and that Ireland needs to prepare a contingency plan in order they can reduce the risk to the economy if the article 16 is triggered in the future. Economist stressed that such action would bring higher economic risks to the UK given their economy depends on the EU. With the potential collapse of U.K – EU trade deal, the pound sterling continue to suffer losses. At the time of writing, GBP/USD fell 0.13% to $1.3474.
In the commodities market, crude oil price rose 1.29% to $82.49 per barrel as of writing following Aramco raising its selling price on its oil. According to reports, Aramco have raised its December official selling price to Asia for its Arab light crude oil. The move by Aramco suggests that “the demand for crude oil remains strong”. On the other hand, gold price rose 0.01% to $1817.81 a troy ounce at the time of writing amid dollar weakness.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
N/A
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior retracement from the resistance level at 94.50. MACD which illustrated increasing bearish momentum suggest the index to extend its losses toward support level at 93.80.
Resistance level: 94.50, 95.15
Support level: 93.80, 93.25
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.3615. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.3615, 1.3815
Support level: 1.3425, 1.3305
EURUSD, Daily: EURUSD was traded lower while currently testing the support level at 1.1530. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses after it successfully breakout below the support level.
Resistance level: 1.1680, 1.1875
Support level: 1.1530, 1.1370
USDJPY, H4: USDJPY was traded lower while currently testing the support level at 113.35. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 114.55, 115.40
Support level: 113.35, 112.05
AUDUSD, H4: AUDUSD was traded lower while currently testing the support level at 0.7380. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.7435, 0.7530
Support level: 0.7380, 0.7305
NZDUSD, H4: NZDUSD was traded lower while currently testing the support level at 0.7110. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.7155, 0.7240
Support level: 0.7110, 0.7015
USDCAD, H4: USDCAD was traded higher while currently near the resistance level at 1.2465. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.2465, 1.2525
Support level: 1.2400, 1.2335
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level at 0.9155. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 0.9075.
Resistance level: 0.9155, 0.9225
Support level: 0.9075, 0.9005
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 81.50. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains toward resistance level at 83.30.
Resistance level: 83.30, 85.85
Support level: 81.50, 79.15
GOLD_, H4: Gold price was traded higher while currently testing the resistance level at 1819.75. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1819.75, 1830.60
Support level: 1807.50, 1796.95
Risk Statement:
Forex, Gold, Crude Oil, Commodities, CFD and all other margin trading investment products involve high level of risk and may not be suitable for all investors. Your previous investment success in stock, futures or any other investment achieved does not mean that all your future investment will obtain the same results. You should carefully consider your investment objectives; risk associated and seek professional advice before deciding to trade or if you have any doubts.