13 January 2020 Afternoon Session Analysis
Dollar gap up amid optimism between US and China.
Dollar index which gauge its value against a basket of six major currencies open market higher this morning as recent news showed that resumption of semi-annual talks likely will be a part of phase 1 trade deal between US and China. Back then, US president Donald Trump announced to abandon this talk’s plan with China after trade dispute between these two largest economy bodies escalated. The meeting session will likely be leaded by these country’s top officials respectively, US Treasury Secretary Steven Mnuchin and Chinese Vice-Premier Liu He. The restart of this meeting was aimed to resolve the economic dispute between US and China as their economy’s growth have been impacted negatively since the beginning of trade war. As of writing, dollar index rose 0.04% to 97.05. On the other hand, the pair of GBP/USD inched down 0.19% to 1.3030 after Bank of England (BoE) policymaker Gertjan Vlieghe revealed to the Financial Timer’s reporter that he will vote for a rate cut in the interest rate decision later this month. According to his opinion, he reiterated that uncertainties over Brexit has been weighed on this single currency for a long time, economy growth remained sluggish in accordance to recent economy data. Therefore, he insisted that a rate cut from BoE will be favorable toward the UK economy unless significant improvement showed in the upcoming economic data.
In the commodities market, the crude oil price notched down 0.14% to $59.10 per barrel amid recent stockpile in US crude oil inventories continue to pressure on this black commodity prices. Besides, gold price fall 0.35% to $1556.70 a troy ounce due to de-escalation of trade dispute between US and China.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
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Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 17:30 | GBP – GDP (YoY) | 1.1% | – | – |
| 17:30 | GBP – Manufacturing Production (MoM) (Nov) | 0.2% | -0.3% |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior retracement from the resistance level at 97.20. MACD which illustrated increasing bearish momentum suggest the index to extend its losses toward support level at 96.65.
Resistance level: 97.20, 97.60
Support level: 96.65, 96.15
GBPUSD, H1: GBPUSD was traded lower while currently testing the support level at 1.3025. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.3075, 1.3130
Support level: 1.3025, 1.2945
EURUSD, Daily: EURUSD was higher following prior rebound from the support level at 1.1080. MACD which illustrated diminishing momentum suggest the pair to extend its gains toward resistance level at 1.1145.
Resistance level: 1.1145, 1.1275
Support level: 1.1080, 1.0990
USDJPY, H4: USDJPY was traded higher while currently testing the resistance level at 109.65. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 109.65, 110.55
Support level: 108.75, 107.70
AUDUSD, H4: AUDUSD was traded higher while currently near the resistance level at 0.6925. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.6925, 0.6965
Support level: 0.6845, 0.6810
NZDUSD, H4: NZDUSD was traded higher while currently near the resistance level at 0.6650. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.6650, 0.6675
Support level: 0.6610, 0.6555
USDCAD, H1: USDCAD was traded lower following prior retracement from the resistance level at 1.3065. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 1.3035.
Resistance level: 1.3065, 1.3100
Support level: 1.3035, 1.2985
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level at 0.9740. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 0.9670.
Resistance level: 0.9740, 0.9810
Support level: 0.9670, 0.9585
CrudeOIL, Daily: Crude oil price was traded lower following prior breakout below the previous support level at 59.65. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses toward support level at 58.15.
Resistance level: 59.65, 61.00
Support level: 58.15, 56.45
GOLD_, H1: Gold price was traded lower following prior retracement from the resistance level at 1560.70. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 1547.00.
Resistance level: 1560.70, 1575.00
Support level: 1547.00, 1531.45