9 July 2021 Morning Session Analysis
Dollar slumped amid bearish job data.
The Dollar Index which traded against a basket of six major currency pairs slumped over the backdrop of bearish economic data from United States region. According to Department of Labor, U.S. Initial Jobless Claims had notched up from the previous reading of 371K to 373K, worse than the market forecast at 350K, which indicate that the labor market recovery from the Covid-19 pandemic continues to be subdued. Nonetheless, the losses experienced by the US Dollar was limited from the earlier hawkish tilt from the Federal Reserve. A Reuters poll predicted that the Federal Reserve would announce a strategy to taper its asset purchases in August or September. While most predict the first reduction to its bond-buying program will resume early next year. Investors would continue to focus toward the latest economic data and Federal Reserve updates to gauge the likelihood movement for the US Dollar. As of writing, the Dollar Index depreciated by 0.04% to 92.40.
In the commodities market, the crude oil price appreciated by 0.12% to $73.50 per barrel as of writing. The oil market edged higher following Energy Information Administration (EIA) reported that U.S. Crude Oil Inventories came in at -6.866M, better than the market forecast at -4.033M, which spurring positive prospect for the market demand on this black commodity. On the other hand, the gold price surged 0.05% to $1803.05 per troy ounces as of writing amid weakening US Dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
18:00 GBP BoE Gov Bailey Speaks
18:00 EUR ECB President Lagarde Speaks
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | GBP – GDP (MoM) | 2.30% | – | – |
| 14:00 | GBP – Manufacturing Production (MoM) (May) | -0.30% | 1.00% | – |
| 20:30 | CAD – Employment Change (Jun) | -68.0K | 175.0K | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior retracement from the resistance level at 92.65. MACD which illustrated increasing bearish momentum suggest the index to extend its losses toward support level at 92.10.
Resistance level: 92.65, 93.25
Support level: 92.10, 91.15
GBPUSD, Daily: GBPUSD was traded lower while currently testing the support level at 1.3780. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.3960, 1.4100
Support level: 1.3780, 1.3685
EURUSD, Daily: EURUSD was traded higher while currently testing the resistance level at 1.1850. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.1850, 1.1955
Support level: 1.1725, 1.1635
USDJPY, H4: USDJPY was traded lower while currently testing the support level at 109.75. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 110.45, 110.95
Support level: 109.75, 109.05
AUDUSD, H4: AUDUSD was traded lower following prior breakout below the previous support level at 0.7465. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.7465, 0.7590
Support level: 0.7365, 0.7285
NZDUSD, Daily: NZDUSD was traded lower while currently testing the support level at 0.6940. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.7120, 0.7305
Support level: 0.6940, 0.6770
USDCAD, Daily: USDCAD was traded higher following prior breakout above the previous resistance level at 1.2495. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 1.2605.
Resistance level: 1.2605, 1.2770
Support level: 1.2495, 1.2360
USDCHF, H4: USDCHF was traded lower following prior breakout below the previous support level at 0.9165. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 0.9095.
Resistance level: 0.9165, 0.9230
Support level: 0.9095, 0.9035
CrudeOIL, H1: Crude oil price was traded higher following prior breakout above the previous resistance level at 73.15. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 74.15, 77.05
Support level: 73.15, 72.45
GOLD_, H4: Gold price was traded lower following prior retracement from the resistance level at 1813.05. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses toward support level at 1788.95.
Resistance level: 1813.05, 1832.25
Support level: 1788.95, 1773.45