14 October 2019 Afternoon Session Analysis
EUR/USD slump, doubt on Brexit.
EUR/USD slump amid market doubt against the Brexit deal. According to Guardian, a breakthrough in the Brexit talks has failed to materialize after a weekend of intensive negotiations, with European Union capitals concluding that it may now be impossible for the UK to leave the EU by 31 October with a deal, raising the uncertainty on Brexit issue and spurring sell-off for EUR/USD. In addition, Prime Minister Boris Johnson had told his colleagues that “there is still a significant amount of work to get there and we must remain prepared to leave on 31 October”. The lack of progress over the weekend has left scant hope on soft-Brexit, raising the doubt for the Brexit delay on 31st October. On the other hand, Japanese Yen slump as trade tensions between US and China was eased. According to Donald Trump’s Twitter account, he had written that “I agreed not to increase tariffs from 25% to 30% on October 15th. Indeed, the relationship with China is very good since China start buying very large quantities of U.S. Agricultural product.” Japanese Yen came under pressure as positive expectation for resolution of trade war has stoked a shift in sentiment toward riskier assets. As of writing, EUR/USD depreciated by 0.10% to 1.1025 and USD/JPY slump 0.08% to 108.29.
In the commodities market, crude oil price rose amid to the rise of geopolitical tensions in the Middle East and the positive expectation for the resolution of trade war. On the other hand, gold price slump amid to risk-on sentiment, spurring higher demand for risky assets. As of writing, crude oil price slump 0.86% to $54.42 per barrel and gold price slump 0.18% to $1486.64 per troy ounces.
Today’s Holiday Market Close
Time Market Event
All Day CAD Canada – Thanksgiving Day
All Day JPY Japan – Health-Sports Day
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
N/A
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level at 97.95. MACD which illustrate diminishing downward momentum suggests the index to be traded higher in short-term as technical correction.
Resistance level: 98.15, 98.35
Support level: 97.95, 97.75
GBPUSD, Daily: GBPUSD was traded higher while currently testing at the resistance level at 1.2585. MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher after it successfully breakout above the resistance level.
Resistance level: 1.2585, 1.2760
Support level: 1.2425, 1.2305
EURUSD, H4: EURUSD was traded lower following prior retracement from the higher level. MACD which illustrate diminishing upward momentum suggests the pair to be traded lower in short-term as technical correction.
Resistance level: 1.1050, 1.1070
Support level: 1.1020, 1.0995
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level at 107.85. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward the resistance level at 108.45.
Resistance level: 108.45, 108.85
Support level: 107.85, 107.40
AUDUSD, H4: AUDUSD was traded lower following prior retracement from 0.6795. MACD which illustrate diminished upward momentum suggests the pair to be traded lower in short-term as technical correction.
Resistance level: 0.6795, 0.6825
Support level: 0.6765, 0.6740
NZDUSD, H1: NZDUSD was traded lower following prior retrace from 0.6310. MACD which illustrate increasing bearish momentum suggests the pair to be traded lower toward the support level at 0.6290.
Resistance level: 0.6310, 0.6320
Support level: 0.6290, 0.6285
USDCAD, Daily: USDCAD was traded lower following prior retracement from the resistance level at 1.3335. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses toward support level at 1.3205
Resistance level: 1.3335, 1.3380
Support level: 1.3205, 1.3140
USDCHF, H4: USDCHF was traded higher following prior breakout above the previous resistance level at 0.9965. MACD which illustrate increasing bullish momentum suggests the pair to extend its gains towards resistance level at 0.9985.
Resistance level: 0.9985,1.0005
Support level: 0.9965, 0.9940
CrudeOIL, H1: Crude oil price was traded higher following prior rebound from the lower level. However, MACD which illustrated diminishing bullish momentum suggest its price to be traded lower in short-term as technical correction.
Resistance level: 54.90, 55.60
Support level: 53.75, 52.95
GOLD_, H4: Gold price was traded higher following prior rebound from the support level at 1480.40. MACD which illustrated diminishing bearish momentum suggest the commodity to extend its gain toward the resistance level at 1492.60.
Resistance level: 1492.60, 1503.05
Support level: 1480.40, 1473.25