10 October 2018 Afternoon Session Analysis
Dollar pauses as market awaits further sentiment.
Dollar index edged lower by 0.10% to 95.20 during early European trading session while lack of sentiment put investors on hold towards the dollar. As dollar tests last week’s support level, investors are waiting for a possible sentiment to further confirm the direction of the dollar. Earlier reports from Reuters stated that US President Donald Trump was unsatisfied with Fed’s decision for gradual rate hikes, commenting that the inflation level of the country was in good condition and that a rush for rate hike was unnecessary. In other news, pair of AUD/USD increased by 0.24% to 0.7120 as of writing amid higher than expected Westpac Consumer Sentiment data. Further boosting of Australian dollar was China’s comment to prevent the use of competitive devaluation to weaken the Yuan, as accused by US officials. Investors gained confidence towards the Australian dollar as the country is one of the major partners with China.
For the commodities market, crude oil price rose 0.17% to $74.80 amid the disturbance in crude output caused by the hurricane affecting US Gulf. The hurricane had since stopped 40% of the gulf’s total output. Otherwise, gold price ticked up 0.03% to $1,189.90 a troy ounce following weaker US dollar.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economy Data
| Time | Market & Data | Previous | Forecast | Actual |
| 16:30 | GBP – GDP (MoM) | 0.3% | 0.1% | – |
| 16:30 | GBP – Manufacturing Production (MoM) (Aug) | -0.2% | 0.1% | – |
| 20:30 | USD – PPI (MoM) (Sep) | -0.1% | 0.2% | – |
| 04:30 (11th) | CrudeOIL – API Weekly Crude Oil Stock | 0.907M | – | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded lower while currently testing the support level 95.20. MACD which illustrate a diminishing bullish momentum suggest the dollar to undergo technical correction towards the resistance level 95.45.
Resistance level: 95.45, 95.70
Support level: 95.20, 94.95
GBPUSD, H4: GBPUSD was recently traded higher following prior breakout above previous resistance level 1.3130. MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to extend its gains towards the resistance level 1.3185.
Resistance level: 1.3185, 1.3280
Support level: 1.3130, 1.3045
EURUSD, H1: EURUSD was traded lower following prior retracement from the resistance level 1.1510. MACD which display starting bearish momentum suggest the pair to extend its retracement towards the support level 1.1460.
Resistance level: 1.1510, 1.1540
Support level: 1.1460, 1.1395
USDJPY, H4: USDJPY was traded lower while currently testing the support level 113.00. MACD which display persistent bearish momentum suggest the pair to extend its losses after a breakout below the support level.
Resistance level: 113.55, 114.00
Support level: 113.00, 112.60
AUDUSD, H1: AUDUSD was traded lower following prior retracement from the resistance level 0.7125. MACD which illustrate starting bearish momentum suggest the pair to extend its retracement towards the support level 0.7080.
Resistance level: 0.7125, 0.7160
Support level: 0.7080, 0.7040
NZDUSD, H1: NZDUSD was traded lower following prior retracement from the resistance level 0.6495. MACD which display starting bearish momentum suggest the pair to extend its retracement towards the support level 0.6460.
Resistance level: 0.6495, 0.6540
Support level: 0.6460, 0.6425
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level 1.2955. MACD which illustrate bearish signal and the formation of a death cross suggest the pair to extend its losses towards the support level 1.2905.
Resistance level: 1.2955, 1.3010
Support level: 1.2905, 1.2840
USDCHF, H1: USDCHF was recently traded lower following prior retracement from the resistance level 0.9940. MACD which display bearish bias suggest the pair to extend its retracement towards the support level 0.9875.
Resistance level: 0.9940, 0.9980
Support level: 0.9875, 0.9815
CrudeOIL, H4: Crude oil price was recently traded higher while currently testing near the resistance level 75.00. MACD which illustrate diminishing bullish momentum suggest the commodity to undergo a retracement towards the support level 73.55.
Resistance level: 75.00, 76.70
Support level: 73.55, 71.90
GOLD_, H1: Gold price remain traded in a sideway channel while currently testing near the resistance level 1191.10. MACD which display ongoing bullish momentum suggest the commodity to extend its gains after a breakout above the channel or resistance level.
Resistance level: 1191.10, 1197.90
Support level: 1185.35, 1173.60