15 August 2017 Daily Analysis
Financial market gasp for air as North Korea backtracks.
Safe haven Japanese yen sheds its gains further on Tuesday, pulling away from prior four-months high against the greenback as tension between United States and North Korea eases. Pair of USD/JPY rebounds by 0.47% to 110.18. According to Wall Street Journal, North Korean leader Kim Jong Un has decided not to launch missile attack on Guam and warned that he may change his mind if United States “persist their extremely dangerous and reckless actions”. In the other region, the dollar index appreciates by 0.10% to 93.31 against a basket of six major peers. Overnight, greenback remained broadly higher in a subdued Monday trade as market participants continues to digest Friday’s sluggish inflation data which may hinder the Federal Reserve from raising interest rates this year. In addition, greenback remained well supported after Reuters reported that President Donald Trump is expected to sign an executive order on infrastructure projects which has raised investor’s risk-taking in the market.
As for commodities, crude oil price pared its losses by 0.15% to $47.66 following prior slump due to lower crude oil demand from China. Otherwise, gold price depreciates further by $8.96 or 0.70% due to diminishing geopolitical risk in the market.
Today’s Holiday Market Close
Time Market Event
All Day EUR Italy – Assumption Day
Today’s Highlight Events
Time Market Event
09:30 AUD RBA Meeting Minutes
Today’s Highlight Economy Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | EUR – German GDP (QoQ) (Q2) | 0.6% | 0.7% | – |
| 15:15 | CHF – PPI (MoM) (Jul) | -0.1% | 0.0% | – |
| 16:30 | GBP – CPI (YoY) (Jul) | 2.6% | 2.7% | – |
| 20:30 | USD – Core Retail Sales (MoM) (Jul) | -0.2% | 0.3% | – |
| 20:30 | USD – Retail Sales (MoM) (Jul) | -0.2% | 0.4% | – |
| 20:30 | USD – NY Empire State Manufacturing Index (Aug) | 9.80 | 10.00 | – |
| 04:30 | CrudeOIL – API Weekly Crude Oil Stock | -7.839M | – | – |
GBPUSD
GBPUSD, H4: GBPUSD remained traded within a tight range while currently testing at the bottom level near 1.2950. Both MA lines which begins to expand downward suggests possibility for a breakout at the bottom level to occur and signal a change in trend direction to extend its losses thereafter.
Resistance level: 1.3015, 1.3060
Support level: 1.2950, 1.2900
EURUSD
EURUSD, H4: EURUSD remains traded within a narrowing triangle following prior retracement from the top level. MACD indicator which shows diminishing upward momentum suggests EURUSD to advance further down, towards the bottom level of the triangle in short-term.
Resistance level: 1.1780, 1.1840
Support level: 1.1720, 1.1650
USDJPY
USDJPY, H4: USDJPY retraces sharply following previous rebound from the support level of 108.70. As the MACD histogram continues to illustrate positive divergence, a successful breakthrough from the downward trendline would signal a change in trend direction to move further upwards thereafter.
Resistance level: 110.10, 110.90
Support level: 109.40, 108.70
CrudeOIL
CrudeOIL, H4: Crude oil price pared some losses following a rebound from the support level of 47.40. Such price movement suggests its price to be traded higher in short-term as technical correction. Likewise, long-term trend direction still suggests downward bias as both MA lines continues to expand downwards.
Resistance level: 48.00, 48.55
Support level: 47.40, 46.55
GOLD
GOLD_, H4: Gold price extended its losses following prior retracement from the resistance level of 1292.05. MACD histogram continues to illustrate negative divergence signal suggests gold price to continue its downward momentum after closing below the support level of 1272.05.
Resistance level: 1282.00, 1292.05
Support level: 1272.05, 1259.65