19 June 2019 Afternoon Session Analysis
Euro remained stagnant following ECB dovish notes.
Euro was traded flat after European Central Bank (ECB) showed its dovish stance towards future economy outlook. On yesterday, ECB President Mario Draghi commented that they will likely to ease policy again where further rate cut and more asset purchases can be expected if inflation still below its target level. For the time being, Eurozone current inflation rate is at 1.2% and central bank are still trying to stimulate the economy as growth prospects are under pressure from uncertainty about the issue such as US China trade dispute and Brexit. Similarly, recent report shows that German ZEW economic sentiment data came in -21.1, unexpectedly lower than the economic forecast of -5.7 while it indicated that investors are now even more pessimistic toward the EU economy outlook as geopolitical tensions continues to haunt the Euro market. As of writing, dollar index edged up 0.02% to 97.65 while the pair of EUR/USD quoted down 0.02% to 1.1190.
As for commodities market, crude oil price inched down by 0.07% to $54.00 per barrel during Asian trading session. In short a while ago, a foreign oil company in Iraq’s Basra hit by a rocket and injured two Iraqi workers. The attack was not identified yet but has created uncertainty toward the oil supply. On the other hand, gold price tumbled 0.03% to $1346.00 a troy ounce following rise in market risk appetite.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
22:00 EUR ECB President Draghi Speaks
02:00 (20th) USD FOMC Economic Projections
02:00 USD FOMC Statement
02:30 USD FOMC Press Conference
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:30 | GBP – CPI (YoY) (May) | 2.1% | 2.0% | – |
| 20:30 | CAD – Core CPI (MoM) (May) | 0.0% | – | – |
| 22:30 | CrudeOIL – Crude Oil Inventories | 2.206M | -1.077M | – |
| 02:00
(20th) |
USD – Fed Interest Rate Decision | 2.50% | 2.50% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the 60-MA line (red). MACD which illustrate bullish bias signal suggest index to extend its gains towards the resistance level 97.60.
Resistance level: 97.60, 97.95
Support level: 97.00, 96.35
GBPUSD, H1: GBPUSD was traded lower while currently testing the support level 1.2555. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses after successfully breaking below the support level.
Resistance level: 1.2615, 1.2690
Support level: 1.2555, 1.2490
EURUSD, H4: EURUSD was traded lower while currently testing near the support level 1.1180. MACD which display persistent bearish momentum suggest the pair to extend its losses after successfully breaking below the support level.
Resistance level: 1.1240, 1.1305
Support level: 1.1180, 1.1120
USDJPY, H4: USDJPY remains traded in a narrowing triangle while currently testing near the bottom-level of the triangle. MACD which illustrate bearish bias signal suggest the pair to extend its losses after breaking below the bottom level of the triangle.
Resistance level: 108.45, 109.15
Support level: 107.85, 107.40
AUDUSD, H4: AUDUSD was traded lower while currently testing the 20-MA line (green). However, MACD which illustrate bullish momentum suggest the pair to be traded higher towards the resistance level 0.6900 as a technical correction.
Resistance level: 0.6900, 0.6930
Support level: 0.6860, 0.6825
NZDUSD, H4: NZDUSD was traded lower following prior retracement from the resistance level 0.6540. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses after successfully closing below the 20-MA line (green).
Resistance level: 0.6540, 0.6580
Support level: 0.6500, 0.6470
USDCAD, H4: USDCAD was traded lower while currently testing the support level 1.3370. MACD which display bearish momentum with the formation of death cross suggest the pair to extend its losses after successfully breaking below the support level.
Resistance level: 1.3435, 1.3490
Support level: 1.3370, 1.3305
USDCHF, H4: USDCHF was traded higher following prior breakout above previous resistance level at 0.9985. However, due to lack of signal from the MACD, a breakout above the resistance level 1.0025 or below the support level 0.9985 is required to obtain further confirmation before entering the market.
Resistance level: 1.0025, 1.0070
Support level: 0.9985, 0.9940
CrudeOIL, H4: Crude oil price was traded higher while currently testing the resistance level 54.50. MACD which illustrate bullish momentum suggest the commodity to extend its gains after successfully breaking above the resistance level.
Resistance level: 54.50, 55.85
Support level: 52.65, 50.90
GOLD_, H4: Gold was traded lower following prior retracement from the resistance level 1355.00. MACD which display bearish bias signal with the starting formation of death cross suggest gold to extend its losses towards the support level 1341.15.
Resistance level: 1355.00, 1370.00
Support level: 1341.15, 1321.15