16 November 2021 Afternoon Session Analysis
Pound Sterling dipped amid downbeat economic outlook.
The pound sterling was traded lower against US dollar and other currency pairs over the backdrop of downbeat economic outlook. According to Reuters, productivity of UK’s economic activities were reported underperformed due to lower business investment, weaker management and fewer commercial patents. According to the researchers at the London School of Economics and the Resolution Foundation, they highlighted that business investment in UK were relatively lower as compared with US, Germany and France. In addition, research director at the Resolution Foundation, Greg Thwaites urged that UK firms require some additional investment funding and human resources management in order to boost the overall productivity in the region. Likewise, the overall sentiment toward Pound Sterling remained bleak after Bank of England (BoE) voiced out their concern regarding their current condition of labor market. According to Bank of England (BoE) Governor Andrew Bailey, he said that the policymakers are awaiting for more official labor data as around 1 million number of workers who were still on furlough when the government’s jobs protection programme. As of writing, the pair of GBP/USD was down 0.2% to 1.3416.
In the commodities market, the crude oil price was down 0.25% to $80.24 per barrel as of writing amid fears of supply boost. According to Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman, oil inventories are expected to be risen starting from next month as the increase of 400,000 bpd are sufficient to meet the global demand of oil. On the other hand, the gold price surged 0.15% to $1865.45 per troy ounces amid risk off sentiment.
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 |
| 15:00 | GBP – Average Earnings Index +Bonus (Sep) | 7.20% | 5.60% | – |
| 15:00 | GBP – Claimant Count Change (Oct) | -51.1K | – | – |
| 21:30 | USD – Core Retail Sales (MoM) (Oct) | 0.80% | 0.80% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing near the support level 95.20. MACD which illustrate diminishing bullish momentum signal suggest the dollar to extend its retracement after it breaks below the support level.
Resistance level: 95.75, 96.25
Support level: 95.20, 94.45
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level 1.3435. MACD which illustrate persistent bullish momentum signal suggest the pair to extend its gains after it breaks above the resistance level 1.3435.
Resistance level: 1.3435, 1.3545
Support level: 1.3300, 1.3160
EURUSD, H4: EURUSD was traded lower while currently testing the support level 1.1375. MACD which illustrate bearish bias signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 1.1455, 1.1535
Support level: 1.1375, 1.1265
USDJPY, H4: USDJPY remain traded in a sideway channel. However, MACD which illustrate bullish momentum signal with the formation of golden cross suggest the pair to be traded higher in short term towards the resistance level 114.60.
Resistance level: 114.60, 115.85
Support level: 113.20, 112.00
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level 0.7365. MACD which illustrate bullish momentum signal suggest the pair to extend its gains after it breaks above the resistance level 0.7365.
Resistance level: 0.7365, 0.7455
Support level: 0.7285, 0.7175
NZDUSD, H4: NZDUSD was traded higher while currently testing the resistance level 0.7075. MACD which illustrate bullish momentum signal suggest the pair to extend its gains after it breaks above the resistance level.
Resistance level: 0.7075, 0.7145
Support level: 0.6980, 0.6910
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level 1.2515. MACD which illustrate ongoing bearish momentum signal suggest the pair to extend its losses towards the support level 1.2410.
Resistance level: 1.2515, 1.2620
Support level: 1.2410, 1.2295
USDCHF, H4: USDCHF was traded lower following prior retracement from its high level. MACD which illustrate diminishing bullish momentum signal suggest the pair to extend its retracement after it breaks below the support level 0.9225.
Resistance level: 0.9295, 0.9370
Support level: 0.9225, 0.9145
CrudeOIL, H4: Crude oil price was traded higher while currently testing near the resistance level 81.10. MACD which illustrate diminishing bearish momentum signal with the formation of golden cross suggest the commodity to extend its gains after it breaks above the resistance level.
Resistance level: 81.10, 84.75
Support level: 78.40, 75.85
GOLD_, H4: Gold price was traded higher while currently testing the resistance level 1867.50. However, MACD which illustrate bearish momentum signal suggest the commodity to extend its retracement towards the support level 1831.50.
Resistance level: 1867.50, 1898.40
Support level: 1831.50, 1805.60