12 November 2018 Morning Session Analysis
Dollar-bulls reinforced, eyes over CPI.
US dollar was opened slightly higher for the week following optimistic US economic data which were released last Friday. The dollar index was up 0.09%, last seen around 96.80 during early Asian trading session. Last week, US Bureau of Labor Statistics reported that regional Producer Price Index (PPI) rose 0.6% for the month of October, exceeding economist expectation for an increase of 0.2%. The data has further cemented investor’s expectation towards Federal Reserve which has previously indicated to continue their monetary policy tightening and hike interest rate this December. As for the week, investors would continue to monitor on upcoming economic releases with higher scrutiny upon Consumer Price Index (CPI) which is scheduled to be release this Wednesday. The data could provide further confirmation of rising inflationary pressure – one of the main worries of Federal Reserve. On the other hand, pound sterling was opened lower by 0.22% to 1.2941 this morning. Sterling received higher volume of selloff after UK Prime Minister Theresa May was forced to cancel a last-minute cabinet meeting for Brexit negotiation due to disagreements in her Conservative party while EU leaders in Brussels were unimpressed with her efforts.
As for commodities market, crude oil price skyrocketed 1.49% to $60.70 per barrel after OPEC and its allies allegedly started to lay the groundwork to cut oil supply in 2019. The cartel also warned in a statement that a “new strategy” is needed, raising investor’s prospect for wider and coordinated supply cut in 2019. On the other hand, gold price tacks up 0.11% to $1,211.10 a troy ounce following equity selloff in Asian region.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
03:30 (13th) USD FOMC Member Daly Speaks
Today’s Highlight Economic Data
N/A
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded higher following prior rebound from the support level near 96.60. MACD which illustrate bearish signal suggests the index to be traded lower in short-term as technical correction.
Resistance level: 97.00, 97.40
Support level: 96.60, 96.20
GBPUSD, H1: GBPUSD was traded higher following prior rebound from the lower levels. MACD which illustrate diminishing downward momentum may suggests the pair to be traded higher in short-term as technical correction.
Resistance level: 1.2955, 1.3015
Support level: 1.2895, 1.2805
EURUSD, H1: EURUSD was traded higher following prior rebound from the lower level. MACD which illustrate bullish signal suggests the pair to be traded higher in short-term as technical correction after closing above 1.1330.
Resistance level: 1.1330, 1.1385
Support level: 1.1280, 1.1240
USDJPY, H1: USDJPY was traded higher following prior closure above the resistance level at 113.85. MACD which illustrate the formation of golden cross suggests the pair to extend its gains, towards the direction of 114.20.
Resistance level: 114.20, 114.55
Support level: 113.85, 113.30
AUDUSD, H1: AUDUSD remains traded within a descending channel following prior rebound from the lower level. MACD which illustrate bullish signal suggests the pair to be traded higher in short-term as technical correction.
Resistance level: 0.7250, 0.7275
Support level: 0.7220, 0.7205
NZDUSD, H1: NZDUSD was traded higher following prior rebound from the lower level. MACD which illustrate positive divergence signal suggests the pair to extend its gains after closing above the 20-MA line (red).
Resistance level: 0.6770, 0.6850
Support level: 0.6735, 0.6700
USDCAD, H4: USDCAD remains traded within an ascending channel following prior retrace from the top level. MACD which illustrate diminishing upward momentum suggests the pair to be traded lower in short-term as technical correction.
Resistance level: 1.3210, 1.3255
Support level: 1.3155, 1.3115
USDCHF, H1: USDCHF was traded flat while currently testing near the support level of 1.0055. MACD which illustrate bearish signal suggests the pair to extend its losses after closing below the target of 1.0055.
Resistance level: 1.0095, 1.0140
Support level: 1.0055, 1.0025
CrudeOIL, H1: Crude oil price remains traded within an descending channel following prior rebound from the lower level. MACD which illustrate bullish signal suggests the commodity price to extend its gains in short-term as technical correction.
Resistance level: 61.05, 62.50
Support level: 60.00, 58.70
GOLD_, H4: Gold price was traded higher following prior rebound from the lower levels. MACD which illustrate diminishing bearish momentum suggests its prices to be traded higher in short-term as technical correction.
Resistance level: 1215.95, 1228.00
Support level: 1206.00, 1198.00