9 November 2018 Afternoon Session Analysis
Greenback spiked amid Fed hawkish decision
Dollar index surged against its six major peers to one week high after US Federal Reserve maintain the interest rates unchanged while reaffirmed its tightening monetary policy stance. According to US central bank, the interest rate was held at 2.25%, in tandem with economists’ forecast while staying on the track to gradually tighten their monetary policy. The Fed emphasized that the depreciation in unemployment rate showed that US economic outlook has been rising strongly. As of now, U.S central bank has rose it interest rate three times this year and although the Fed meeting outcome and statement on yesterday did not generate any major surprise toward the market, it has reinforced the view for yet another rate hike in December. As of writing, dollar index notched up 0.04% to 96.55. On the other hand, pair of GBP/USD tumbled 0.10% to 1.3045 during the Asian trading session amid Brussels plans to push for a customs border in the Irish Sea if UK and EU failed to achieve a Brexit agreement. However, the government of UK will not agree to anything that bring about hard border on the island of Ireland and will not accept the UK being divided into two customs territories, Theresa May repeated.
In the commodities market, crude oil notched down 0.33% to $60.55 per barrel amid oil production from United States, Russia and Saudi Arabia continue to grow while demand of oil from the global economy starting to show a signs of slowdown. Next, gold dipped 0.38% to $1218.70 amid higher demand for US dollar.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 17:30 | GBP – GDP (QoQ) (Q3) | 0.4% | 0.6% | – |
| 17:30 | GBP – Manufacturing Production (MoM) (Sep) | -0.2% | 0.1% | – |
| 17:30 | GBP – Monthly GDP 3M/3M Change | 0.7% | 0.6% | – |
| 21:30 | USD – PPI (MoM) (Oct) | 0.2% | 0.2% | – |
| 23:00 | USD – Michigan Consumer Sentiment (Nov) | 98.6 | 98.0 | – |
| 02:00 | CrudeOIL – US Baker Hughes Oil Rig Count | 874 | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently testing near the resistance level at 96.55. MACD which illustrate bullish momentum and the formation of golden cross suggest the index to extend its gains after successfully breakout the resistance level at 96.55.
Resistance level: 96.55, 96.85
Support level: 96.35, 96.15
GBPUSD, H4: GBPUSD was traded lower following prior breakout from the previous support level at 1.3080. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 1.3015.
Resistance level: 1.3080, 1.3145
Support level: 1.3015. 1.2960
EURUSD, H4: EURUSD was traded lower following prior breakout from the previous support level at 1.1370. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 1.1335.
Resistance level: 1.1370, 1.1410
Support level: 1.1335, 1.1315
USDJPY, H1: USDJPY was traded lower following prior retracement from the resistance level at 114.05. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 113.80.
Resistance level: 114.05, 114.25
Support level: 113.80, 113.55
AUDUSD, H4: AUDUSD was traded lower while currently testing near the support level at 0.7235. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses after successfully breakout from the support level at 0.7235.
Resistance level: 0.7260, 0.7295
Support level: 0.7235, 0.7210
NZDUSD, H4: NZDUSD was traded lower following prior breakout from the previous support level at 0.6755. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 0.6715.
Resistance level: 0.6755, 0.6790
Support level: 0.6715, 0.6675
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level 1.3185. However, MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to be traded higher in short term toward the resistance level at 1.3185.
Resistance level: 1.3185, 1.3210
Support level: 1.3140, 1.3100
USDCHF, H4: USDCHF was traded higher following prior breakout from the previous resistance level at 1.0060. MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to extend its gains toward the resistance level at 1.0080.
Resistance level: 1.0080, 1.0105
Support level: 1.0060, 1.0020
CrudeOIL, H1: Crude oil was traded higher following prior rebound from the support level at 60.45. MACD which illustrate diminishing of bearish momentum suggest the commodity to extend its gains toward the resistance level at 61.25.
Resistance level: 61.25, 62.60
Support level: 60.45, 59.85
GOLD_, H4: Gold was traded lower following prior breakout from the previous support level at 1221.45. MACD which illustrate bearish momentum suggest the commodity to extend its losses toward the support level at 1215.15.
Resistance level: 1221.45, 1225.50
Support level: 1215.15, 1203.80