19 July 2019 Afternoon Session Analysis
CAD rose as greenback slumps further.
Canadian dollar received higher bidding in the FX market following broad weakness experienced by the greenback since yesterday. As of writing, pair of USD/CAD slumped 0.03% to 1.3028 during Asian trading session. Greenback received tremendous selloff pressure after New York Federal Reserve President John Williams argued to initiate pre-emptive measures in order to avoid dealing with low inflation. Although New York Fed representative subsequently commented that William’s comments were academic and not an immediate policy direction, his comments came in parallel with similar comments from Fed Vice Chair Richard Clarida. When being compared to Bank of Canada, the chances for an interest rate cut as high as 50 basis points from the Federal Reserve rose following dovish comments from Fed officials. Likewise, Canadian dollar remains well in bid following a recovery in crude oil prices earlier this morning. For the time being, investors will place their attention upon the release of Retail Sales data from Canada in order to attain further market signals.
As for commodities market, crude oil price rebounds by 0.97% to $56.16 per barrel. Oil prices rebounds from its low level after Iran has reportedly seized a foreign oil tanker near the Persian Gulf which pushes geopolitical tension higher. On the other hand, gold price retraces from its prior high levels by 0.16% to $1,443.97 a troy ounce while market participants continue to monitor for signals with regards to Federal Reserve monetary policy meeting bound to be held at the end of the month.
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 |
| 14:00 | EUR – German PPI (MoM) (Jun) | -0.1% | -0.1% | – |
| 20.30 | CAD – Core Retail Sales (Mom) (May) | 0.1% | 0.3% | – |
| 22:00 | USD – Michigan Consumer Sentiment | 98.2 | 98.6 | – |
| 01:00 (20th) | CrudeOIL – US Baker Hughes Oil Rig Count | 784 | – | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded higher following prior rebound from the lower level. MACD which illustrate diminishing bearish momentum signal suggest the dollar to extend its gains toward the resistance level at 96.50.
Resistance level: 96.50, 97.10
Support level: 96.20, 95.85
GBPUSD, H1: GBPUSD was traded lower following prior retracement from the higher level. MACD which display diminishing bullish momentum suggest the pair to extend its retracement toward the support level at 1.2500.
Resistance level: 1.2575, 1.2610
Support level: 1.2500, 1.2435
EURUSD, H1: EURUSD was traded higher following prior rebound from the support level at 1.1245. However, MACD which illustrate diminishing bullish momentum suggest the pair to undergo short term technical correction toward the support level at 1.1245.
Resistance level: 1.1280, 1.1320
Support level: 1.1245, 1.1210
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level at 107.40. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 107.75.
Resistance level: 107.75, 108.20
Support level: 107.40, 106.80
AUDUSD, H4: AUDUSD was traded higher following prior breakout above the previous resistance level at 0.7055. MACD which display bullish bias momentum suggest the pair to extend its gains toward the resistance level at 0.7090.
Resistance level: 0.7090, 0.7125
Support level: 0.7055, 0.7030
NZDUSD, H4: NZDUSD was traded higher while currently testing the resistance level at 0.6780. MACD which display bullish momentum suggest the pair to extend its gains after successfully breakout above the resistance level at 0.6780.
Resistance level: 0.6780, 0.6820
Support level: 0.6725, 0.6660
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level at 1.3040. MACD which display bearish momentum and the formation of death cross suggest the pair to extend its losses toward the support level at 1.2990.
Resistance level: 1.3040, 1.3095
Support level: 1.2990, 1.2900
USDCHF, H1: USDCHF was traded higher following prior rebound from the support level at 0.9805. MACD which illustrate diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 0.9840.
Resistance level: 0.9840, 0.9880
Support level: 0.9805, 0.9755
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 55.90. MACD which illustrate diminishing bearish momentum suggest the commodity to extend its gains toward the resistance level at 56.85.
Resistance level: 56.85, 57.85
Support level: 55.90, 54.65
GOLD_, H1: Gold price was traded lower following prior retracement from the resistance level at 1450.00. MACD which illustrate diminishing bullish momentum signal suggest the commodity to extend its retracement toward the support level at 1436.35.
Resistance level: 1450.00, 1470.80
Support level: 1436.35, 1424.05