11 August 2020 Afternoon Session Analysis
Pound surged while Post-Brexit talk stills ongoing.
Pound Sterling which act as one of the major currencies climbed higher during Asian trading session while market participants are still eyeing on the negotiation between EU and UK. According to Reuters, Britain top minister revealed that the possibility of reaching consensus between EU and UK has increased substantially amid distinct changes of tone from EU can be seen in recent talks. As of now, UK has entered into transition period where the nation can remain in the European Union single market, membership of EU remains in place until the end of transition period 31th December. On the other side, a pool from Express has showed that part of the UK voters are bias to form a new alliance after UK officially dismissed from EU bloc. In details, UK Prime Minister Boris Johnson has been told to form ‘superpower’ alliance with Canada, Australia and New Zealand. Nonetheless, the members of this new alliance are set ready to negotiate with UK over the coming weeks. As of writing, the pair of GBP/USD rose 0.18% to 1.3095.
In the commodities market, crude oil price inched up by 0.62% to $42.20 per barrel after OPEC+ reaffirm its commitment of compliance toward their oil production cut. Last week, OPEC+ held a phone call meeting to reassure each of the OPEC+ members have fully committed to their respective oil cut amount. Iraq revealed that it will cut another 400k barrels per day throughout the months of August and September. Besides, gold price depreciated by 0.43% to $2018.75 a troy ounce amid latest positive progress in development of vaccines ignited up the market risk behavior.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
20:00 CrudeOIL EIA Short-Term Energy Outlook
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:30 | GBP – Average Earnings Index +Bonus (Jun) | -0.3% | -1.1% | – |
| 16:30 | GBP – Claimant Count Change (Jul) | -28.1K | 10.0K | – |
| 17:00 | EUR – German ZEW Economic Sentiment (Aug) | 59.3 | 58.0 | – |
| 20:30 | USD – PPI (MoM) (Jul) | -0.2% | 0.3% | – |
Technical Analysis
DOLLAR_INDX, Weekly: Dollar index was traded lower while currently testing the support level at 93.30. MACD which illustrated increasing bearish momentum suggest the index to extend its losses after it successfully breakout below the support level.
Resistance level: 95.55, 97.65
Support level: 93.30, 91.30
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.3095. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.3095, 1.3175
Support level: 1.3010, 1.2925
EURUSD, H4: EURUSD was traded lower following prior breakout below the previous support level at 1.1780. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.1780, 1.1900
Support level: 1.1685, 1.1590
USDJPY, H4: USDJPY was traded higher following prior rebound from the support level at 105.35. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 106.40, 107.35
Support level: 105.35, 104.25
AUDUSD, H4: AUDUSD was traded higher following prior rebound from the support level at 0.7120. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 0.7245.
Resistance level: 0.7245, 0.7335
Support level: 0.7120, 0.7020
NZDUSD, H4: NZDUSD was traded higher following prior rebound from the support level at 0.6575. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 0.6625.
Resistance level: 0.6625, 0.6690
Support level: 0.6575, 0.6530
USDCAD, H4: USDCAD was traded lower while currently testing the support level at 1.3325. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.3390, 1.3445
Support level: 1.3325, 1.3255
USDCHF, H4: USDCHF was traded higher while currently near the resistance level at 0.9195. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.9195, 0.9330
Support level: 0.9060, 0.8860
CrudeOIL, H1: Crude oil price was traded higher while currently testing the resistance level at 42.25. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 42.25, 43.05
Support level: 40.95, 40.05
GOLD_, H1: Gold price was traded lower while currently testing the support level at 2013.35. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses after it successfully breakout below the support level.
Resistance level: 2049.60, 2074.60
Support level: 2013.35, 1973.70