15 July 2020 Morning Session Analysis
Dollar sunk despite global risk heightened.
Dollar index which gauge its value against a basket of six major currencies failed to extend its gains, instead plunged to recent low level as traders unfazed by the increased tensions between US and China as well as the pandemic has also developed into a worse phrase. According to the latest statistics, a resurgence of novel covid-19 has been found in countries such as UK and Japan, and yet US is still haunted by the first wave of covid-19 where the nation reported highest virus cases in global. Besides, the market sentiment of dollar turn even sourer as the renewed tensions between US and China put their future’s diplomatic relations into danger and uncertain. Recent Tit-for-tat retaliation and criticism between these two largest economy bodies were caused by the civil liberties in Hong Kong and territorial claims in South China Sea. Moreover, market participants has also shifted their capital away from greenback to other currencies which exposed to lesser risk of damage such as Euro as they believe the upcoming stimulus package will be approved and able to recover the entire Europe economy condition. As of writing, dollar index inched down by 0.29% to 96.20.
In the commodities market, crude oil price appreciated by 0.74% to $40.60 per barrel as oil storage fall significantly. According to the API, US Crude Oil Inventories data recorded a reading of -8.322M, larger fall than the economist forecast at -2.100M, indicating the supply glut eased while market are still headache against the negative effect of virus’s fallout. Besides, gold price rose by 0.02% to $1809.50 a troy ounce as pandemic is getting worse while global uncertainty heightened.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
11:00 JPY BoJ Outlook report (YoY)
22:00 CAD BoC Monetary Policy Report
23:15 CAD BOC Press Conference
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | GBP – CPI (YoY)(Jun) | 0.5% | 0.4% | – |
| 20:30 | CAD – Core CPI (MoM)(Jun) | -0.1% | – | – |
| 22:00 | CAD – BoC Interest Rate Decision | 0.25% | 0.25% | – |
| 22:30 | CrudeOIL – Crude Oil Inventories | 5.654M | -2.098M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing the support level at 96.10. MACD which illustrate bearish momentum signal suggest the pair to extend its losses after it successfully breakout below the support level at 96.10.
Resistance level: 96.90, 97.55
Support level: 96.10, 95.65
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the support level at 1.2525. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 1.2580.
Resistance level: 1.2580, 1.2665
Support level: 1.2525, 1.2435
EURUSD, H4: EURUSD was traded higher following prior rebound from the support level at 1.1390. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 1.1435.
Resistance level: 1.1435, 1.1470
Support level: 1.1390, 1.1360
USDJPY, H4: USDJPY was traded lower following prior retracement from the higher level. MACD which illustrate diminishing bullish momentum signal suggest the pair to extend its losses toward the support level at 106.95.
Resistance level: 107.50, 107.95
Support level: 106.95, 106.35
AUDUSD, Daily: AUDUSD was traded higher following prior rebound from the 20 moving average line (Red). Due to lack of signal from MACD, it is suggested to wait for further confirmation before entering into the market.
Resistance level: 0.7115, 0.7295
Support level: 0.6810, 0.6500
NZDUSD, Daily: NZDUSD was traded lower following prior retracement from the resistance level at 0.6580. MACD which illustrate bearish momentum signal suggest the pair to extend its losses toward the support level at 0.6380.
Resistance level: 0.6580, 0.6755
Support level: 0.6480, 0.6380
USDCAD, Daily: USDCAD was traded higher following prior rebound from the support level at 1.3500. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 1.3675.
Resistance level: 1.3675, 1.3865
Support level: 1.3500, 1.3355
USDCHF, H4: USDCHF was traded higher following prior rebound from the support level at 0.9380. However, MACD which illustrate bearish bias momentum suggest the pair to undergo technical correction in short term.
Resistance level: 0.9430, 0.9475
Support level: 0.9380, 0.9320
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 40.10. MACD which illustrate bullish bias momentum signal suggest the commodity to extend its gains toward the resistance level at 41.35.
Resistance level: 41.35, 43.55
Support level: 40.10, 39.00
GOLD_, H4: Gold price was traded higher following prior rebound from the support level at 1797.20. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 1813.90.
Resistance level: 1813.90, 1823.80
Support level: 1797.20, 1786.25