17 October 2018 Afternoon Session Analysis
Dollar rises amid economy recovery sentiment.
Dollar index rebound from 3-week low, appreciating by 0.20% to 94.90 during early European trading session amid a rebound on three main Wall Street indices. The strong earnings from blue-chips provided a positive sentiment towards US economy growth despite gradual rate hikes and tensions from the ongoing trade wars. Further boosting the sentiment was yesterday’s JOLTs Job Openings data which reflects growing working industry with an actual reading of 7.136M compared to the forecasted value of 6.945M. In other news, pair of GBP/USD was down by 0.09% to 1.3170 ahead of EU summit where UK Prime Minister Theresa May is expected to provide a win-win proposal which includes the Northern Ireland border issue in order for the success of Brexit deal. Investors exit the pound market while waiting for further sentiment from the summit.
As for commodities market, crude oil was traded flat at $71.95 per barrel while investors wait for today’s Crude Oil Inventories data to further confirm the price direction of crude oil. On the other hand, gold price was down 0.18% to $1,222.60 a troy ounce following dollar rebound.
Today’s Holiday Market Close
Time Market Event
All Day HKD Hong Kong – Chung Yeung Day
Today’s Highlight Events
Time Market Event
Tentative EUR EU Economic Forecasts
02:00 (18th） USD FOMC Meeting Minutes
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 16:30 | GBP – CPI (YoY) (Sep) | 2.7% | 2.6% | – |
| 17:00 | EUR – CPI (YoY) (Sep) | 2.1% | 2.1% | – |
| 20:30 | USD – Building Permits (Sep) | 1.249M | 1.278M | – |
| 20:30 | CAD – Manufacturing Sales (MoM) (Aug) | 0.9% | -0.6% | – |
| 22:30 | CrudeOIL – Crude Oil Inventories | 5.987M | 2.167M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level 94.55. MACD which illustrate bullish momentum suggest the dollar to extend its gains towards the resistance level 95.00
Resistance level: 95.00, 95.35
Support level: 94.55, 94.20
GPBUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level 1.3180. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses towards the support level 1.3115.
Resistance level: 1.3180, 1.3245
Support level: 1.3115, 1.3030
EURUSD, H1: EURUSD was traded lower following prior breakout below the previous support level 1.1570. MACD which illustrate persistent bearish momentum suggest the pair to extend its losses towards the support level 1.1540.
Resistance level: 1.1570, 1.1605
Support level: 1.1540, 1.1510
USDJPY, H1: USDJPY was traded lower following prior retracement from the resistance level 112.50. MACD which illustrate bearish signal and the formation of a death cross suggest the pair to extend its losses towards the support level 111.90.
Resistance level: 112.50, 112.85
Support level: 111.90, 111.35
AUDUSD, H1: AUDUSD was traded higher while currently testing the resistance level 0.7140. MACD which display diminishing bearish momentum suggest the pair to extend its gains after a breakout above the resistance level.
Resistance level: 0.7140, 0.7160
Support level: 0.7115, 0.7085
NZDUSD, H4: NZDUSD was traded higher following prior breakout above the previous resistance level 0.6575. MACD which illustrate diminishing bullish momentum suggest the pair to be traded lower after a breakout below the support level 0.6575.
Resistance level: 0.6635, 0.6675
Support level: 0.6575, 0.6530
USDCAD, H1: USDCAD was traded higher while currently testing near the resistance level 1.2960. MACD which illustrate bullish momentum suggest the pair to extend its gains after a breakout above the resistance level.
Resistance level: 1.2960, 1.3000
Support level: 1.2920, 1.2880
USDCHF, H4: USDCHF remain traded within a sideway channel following prior rebound from the support level 0.9860. MACD which illustrate bullish momentum suggest the pair to extend its rebound towards the resistance level 0.9950.
Resistance level: 0.9950, 0.9980
Support level: 0.9860, 0.9800
CrudeOIL, H4: Crude oil price was traded higher while currently testing the resistance level 72.00. MACD which illustrate persistent bullish momentum suggest the commodity to extend its gains after a breakout above the resistance level.
Resistance level: 72.00, 73.55
Support level: 72.25, 68.70
GOLD_, H4: Gold price was traded lower following prior breakout below the previous support level 1225.05. MACD which illustrate bearish momentum and the formation of death cross suggest the gold to extend its losses towards the support level 1217.80.
Resistance level: 12225.05, 1233.65
Support level: 1217.80, 1210.35