17 December 2019 Afternoon Session Analysis
AUD slumped after RBA meeting minutes.
Australian dollar extended its losses following the release of central bank meeting minutes and bearish economic data from the region. As of writing, pair of AUD/USD slumped 0.24% to 0.6868. Australian dollar received bearish pressure after Reserve Bank of Australia’s (RBA) December meeting minutes showed that the board agreed to reassess economic conditions during February meeting. Policymakers said that the current wage growth is not fast enough to attain inflation target which may set lower spending among consumers. The central bank also signals that they would deliver additional stimulus if required. Such signal from RBA sparked pessimism among investors as they may deliver further rate cuts after the reassessment next year. In addition, Australian dollar received additional bearish pressure after Home Loans for the month of October came in at 0.6%, lower than forecasted reading of 1.1%.
As for commodities market, crude oil price depreciates by 0.08% to $60.17 per barrel. However, oil prices continue to hover near three-months high as imminent supply cut from OPEC and diminishing US-China trade tension could help global economy to recover its pace in the near-term. On the other hand, gold price rose 0.03% to $1,476.41 a troy ounce due to weaker greenback.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 17:30 | GBP – Average Earnings Index +Bonus (Oct) | 3.6% | 3.4% | – |
| 17.30 | GBP – Claimant Count Change (Nov) | 33.0K | 21.3K | – |
| 21.30 | USD – Building Permits (Nov) | 1.461M | 1.400M | – |
| 23.00 | USD – JOLTs Job Openings (Oct) | 7.024M | – | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded lower following prior breakout below the previous support level at 96.85. MACD which illustrated increasing bearish momentum suggest the index to extend its losses toward support level at 96.25.
Resistance level: 96.85, 97.25
Support level: 96.25, 95.45
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.3315. MACD which illustrated bearish momentum suggest the pair to extend its losses toward the support level at 1.3170.
Resistance level: 1.3315, 1.3425
Support level: 1.3170, 1.3035
EURUSD, H4: EURUSD was traded higher following prior rebound from the 20 moving average line (Red). MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 1.1170.
Resistance level: 1.1170, 1.1240
Support level: 1.1075, 1.1005
USDJPY, H4: USDJPY was traded lower following prior retracement from the resistance level at 109.65. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 109.35.
Resistance level: 109.65, 110.25
Support level: 109.25, 108.95
AUDUSD, H4: AUDUSD was traded lower following prior breakout below the previous support level at 0.6880. MACD which illustrated bearish bias momentum suggest the pair to extend its losses toward the support level at 0.6850.
Resistance level: 0.6880, 0.6925
Support level: 0.6850, 0.6815
NZDUSD, H1: NZDUSD was traded flat within the symmetry triangle. MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short term.
Resistance level: 0.6600, 0.6625
Support level: 0.6570, 0.6535
USDCAD, H4: USDCAD was traded higher following prior breakout above the previous resistance level at 1.3145. MACD which illustrated bearish momentum signal suggest the pair to extend its gains toward resistance level at 1.3210.
Resistance level: 1.3210, 1.3265
Support level: 1.3145, 1.3085
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level at 0.9845. MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower toward the support level at 0.9810.
Resistance level: 0.9845, 0.9885
Support level: 0.9810, 0.9760
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level at 59.70. Due to lack of signal from MACD, it is suggested to wait for further confirmation before entering the market.
Resistance level: 60.80, 63.05
Support level: 59.70, 58.60
GOLD_, H4: Gold price was flat near the resistance level at 1477.65. MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short term toward the support level at 1471.65.
Resistance level: 1477.65, 1484.70
Support level: 1471.65, 1464.05