21 September 2018 Daily Analysis
Dollar falls amid trade war uncertainty.
The dollar fell by 0.05% to 93.42 at early Asian trading session against a basket of six major currencies while hitting a 3-month low since mid-June yesterday amid the increasing tension of trade war and the uncertainty of US President Donald Trump’s next move after the retaliation by China where tariff was imposed on $60 billion US goods. Trump made a threat in his Twitter on Monday where he will impose another round of tariff on $267 billion of China goods if China were to retaliate. The fall was briefly capped by the positive sentiment from yesterday releasement of economy data US Philadelphia Fed Manufacturing Index but was followed by a negative sentiment from the Existing Home Sales economic data. In other news, the pound sterling rose sharply by 0.40% to 1.3270 after the Brexit news on yesterday where EU warned UK Prime Minister Theresa May to give up on the Ireland border issue to prevent a hard-Brexit. May replied the warning with a promised to ensure no Ireland border issue followed by a warning that a hard-Brexit may act as a negotiation tactics.
As for the commodities market, crude oil fell by 0.10% to $70.20 per barrel amid US President Donald Trump’s Twitter post where he demanded the OPEC to reduce the prices of crude oil. On the other hand, gold price increased by 0.14% to $1208.60 per troy ounce as dollar index continues to plunge amid trade war uncertainties.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
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Todays’ Highlight Economy Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 15:30 | EUR – German Manufacturing PMI (Sep) | 55.9 | 55.7 | – |
| 20:30 | CAD – Core Retail Sales (MoM) (Jul) | -0.1% | 0.6% | – |
| 20:30 | CAD – Core CPI (Aug) | 0.2% | – | – |
| 21:45 | USD – Manufacturing PMI (Sep) | 54.7 | 55.0 | – |
GBPUSD
GBPUSD, H1: GBPUSD was traded lower following prior retracement from the resistance level 1.3290. MACD which illustrate bearish momentum and the formation of death cross suggest this pair to extend its retracement towards the support level 1.3205.
Resistance level 1.3290, 1.3350
Support level: 1.3205, 1.3090
EURUSD
EURUSD, H4: EURUSD was traded higher following prior breakout above the previous resistance level 1.1760. Recent price action and MACD which display bullish momentum suggest the pair to extend its gains towards the resistance level 1.1800.
Resistance level: 1.1800, 1.1840
Support level: 1.1760, 1.1730
USDJPY
USDJPY, H4: USDJPY was recently traded higher following prior breakout above the resistance level 112.50. MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to extend its gains towards the resistance level 113.10.
Resistance level: 113.10, 113.65
Support level: 112.50, 112.20
CrudeOIL
CrudeOIL, H4: Crude oil price was recently traded lower following prior breakout below the previous support level 70.45. Recent price movement and MACD which display bearish momentum and the starting formation of death cross suggest the commodity to extend its losses towards the support level 69.50
Resistance level: 70.45, 71.25
Support level: 69.50, 68.55
GOLD
GOLD, H4: Gold price was recently traded higher while currently testing the resistance level 1208.45. Recent price action and MACD which illustrate persistent bullish momentum suggest the commodity to extend its gains after a breakout above the resistance level 1208.45.
Resistance level: 1208.45, 1212.70
Support level: 1203.30, 1196.00