28 March 2019 Morning Session Analysis
Pound Sterling ‘hit’ heavily as Brexit deadlock remained.
The Pound tumbled against other major currencies after hitting one week high level amid Brexit still deadlocked following all the 8 alternatives plan that proposed by UK Lawmakers failed to get through the approval stage. Sterling market has been dented by the negative sentiment after the lawmakers voted down on every alternatives plan, but also disagreed with Theresa May draft idea. Prior to the votes, Theresa May ‘threw a bomb’ to the UK House of Common by saying that she would resigned if her Brexit deal was get to delivered by end of this week. On the other side, latest announcement from DUP also ‘stabbed’ on Sterling Pound as DUP has confirmed that they will not back Theresa May’s Brexit deal despite the Prime Minister even promise to step down if MP’s backed it, according to BBC news. DUP has also mentioned that as of now, the party does not see any progress in solving backstop issue by UK Lawmakers, and they will only back UK withdrawal draft once the Ireland backstop issue been unfolded. During the early Asian trading session, GBP/USD quoted down 0.07% to 1.3180 while Dollar index inched up by 0.17% to 96.35.
In the commodities market, crude oil price down 0.37% to $58.95 per barrel amid yesterday EIA crude oil inventories data which showed a huge amount of buildup in US inventories level continue to haunt the crude oil market. The data came in at 2.800M, missing economists’ expectation of -1.100M and exceeding previous reading of -9.589M. However, losses on crude oil price limited by some upward pressure as there is a strong support from efforts by OPEC and non-affiliated allies to trim output. Besides, gold price rose 0.03% to $1309.85 a troy ounce amid deadlock in UK has pushed up the demand on this specific safe haven asset.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
04:00 (29th) NZD RBNZ Gov Orr Speaks
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 20:30 | USD – GDP (QoQ) (Q4) | 2.6% | 2.4% | – |
| 20:30 | USD – Initial Jobless Claims | 221K | 220K | – |
| 21:00 | EUR – German CPI (MoM) (Mar) | 0.4% | 0.6% | – |
| 22:00 | USD – Pending Home Sales (MoM) (Feb) | 4.6% | 0.1% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level 96.20. However, MACD which display diminishing bullish momentum suggest dollar to undergo short-term technical correction and retrace towards the support level.
Resistance level: 96.70, 97.05
Support level: 96.20, 95.70
GBPUSD, Daily: GBPUSD was traded lower while currently testing near the support level 1.3180. MACD which display bearish momentum and the formation of death cross suggest the pair to extend its losses after successfully closing below the support level.
Resistance level: 1.3300, 1.3415
Support level: 1.3180, 1.3085
EURUSD, H4: EURUSD was traded lower following prior breakout below previous support level 1.1260. However, MACD which illustrate diminishing bearish momentum suggest the pair to undergo short-term technical correction and rebound back to the resistance level 1.1260.
Resistance level: 1.1260, 1.1290
Support level: 1.1215, 1.1175
USDJPY, H4: USDJPY was traded lower while currently testing the support level 110.35. MACD which display bearish bias signal suggest the pair to extend its losses after successfully closing below the support level.
Resistance level: 110.95, 111.45
Support level: 110.35, 109.75
AUDUSD, H4: AUDUSD was traded lower while currently testing near the support level 0.7070. However, MACD which display diminishing bearish momentum suggest the pair to undergo short-term technical correction and rebound towards the resistance level 0.7115.
Resistance level: 0.7115, 0.7150
Support level: 0.7070, 0.7025
NZDUSD, H4: NZDUSD was traded lower while currently testing near the support level 0.6775. However, MACD which illustrate diminishing bearish momentum suggest the pair to undergo short-term technical correction and rebound towards the resistance level 0.6820.
Resistance level: 0.6820, 0.6865
Support level: 0.6775, 0.6730
USDCAD, H4: USDCAD was traded higher following prior rebound from the support level 1.3400. MACD which illustrate bullish bias signal suggest the pair to extend its rebound towards the resistance level 1.3455.
Resistance level: 1.3455, 1.3500
Support level: 1.3400, 1.3360
USDCHF, H4: USDCHF remains traded in a sideway-channel while currently testing near the top-level of the channel near 0.9950. However, MACD which illustrate diminishing bullish momentum suggest the pair to undergo short-term technical correction and retrace towards the bottom-level of the channel at 0.9905.
Resistance level: 0.9950, 0.9980
Support level: 0.9905, 0.9855
CrudeOIL, H4: Crude oil was traded lower following prior breakout below previous support level 59.35. MACD which display bearish momentum with the formation of death cross suggest the commodity to extend its losses towards the support level 58.40.
Resistance level: 59.35, 60.20
Support level: 58.40, 57.50
GOLD, H4: Gold price was traded lower while currently testing near the bottom-level of the upward channel. MACD which illustrate diminishing bearish momentum suggest gold to rebound towards the top-level of the channel.
Resistance level: 1315.00, 1323.00
Support level: 1305.50, 1294.50