21 November 2018 Morning Session Analysis
Dollar rebounds amid strong Building Permits data.
Dollar index rebound from its lower levels, extending its gains amid higher than expected Building Permits data reading yesterday. The data had a reading of 1.263M, higher compared to economists forecasted value of 1.260M. The data managed to recover positive sentiment for the dollar as market worries blooming economy in US will disrupt the Fed’s plan for gradual rate hikes. Dollar successfully regained its place as safe-haven, causing investors to flee from riskier market into the dollar market, increasing the index by 0.02% to 96.65 as of writing. In other news, pair of USD/CAD surged to 28th June high after crude oil market faces large sell-off yesterday. With Canada being one of the top oil exporters, a decrease in crude oil price will cause the demand for Canada dollar to decrease, thus decreasing its value. The pair notched up by 0.04% to 1.3305 as of writing.
As for commodities market, crude oil price rebounded by 1.49% to $54.15 per barrel after plunging to a new low amid worries that OPEC decision to cut supply will not be sufficient to offset the increasing crude inventory level. On the other hand, gold price tick up 0.02% to $1221.50 a troy ounce after retracing from its highest level amid higher demand for dollar.
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 | Market & Data | Previous | Forecast | Actual |
| 21:30 | USD – Core Durable Goods Order (MoM) (Oct) | 0.1% | 0.4% | – |
| 23:00 | USD – Existing Home Sales (Oct) | 5.15M | 5.20M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the previous resistance level 96.60. MACD which illustrate bullish momentum suggest dollar to extend its gains towards the resistance level 97.00.
Resistance level: 97.00, 97.30
Support level: 96.60, 96.20
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level 1.2800. MACD which illustrate bearish momentum and the starting formation of death cross suggest the pair to extend its losses towards the support level 1.2740.
Resistance level: 1.2800, 1.2855
Support level: 1.2740, 1.2690
EURUSD, H4: EURUSD was traded lower following prior breakout below the previous support level 1.1390. MACD which display bearish momentum and formation of death cross suggest the pair to extend its losses towards the support level 1.1335.
Resistance level: 1.1390, 1.1440
Support level: 1.1335, 1.1290
USDJPY, H4: USDJPY was traded higher following prior breakout above previous resistance level at 112.75. MACD which illustrate bullish momentum and the formation of golden cross suggest the pair to extend its gains towards the resistance level 113.05.
Resistance level: 113.05, 113.50
Support level: 112.75, 112.40
AUDUSD, H1: AUDUSD was traded higher following prior rebound from the support level 0.7210. MACD which illustrate bullish momentum and the starting formation of golden cross suggest the pair to extend its rebound towards the resistance level 0.7240.
Resistance level: 0.7240, 0.7265
Support level: 0.7210, 0.7190
NZDUSD, H4: NZDUSD was traded lower following prior breakout below the previous support level 0.6795. MACD which illustrate bearish momentum and the formation of negative divergence suggest the pair to extend its losses towards the support level 0.6755.
Resistance level: 0.6795, 0.6845
Support level: 0.6755, 0.6710
USDCAD, H4: USDCAD was traded higher following prior breakout above the previous resistance level 1.3290. MACD which illustrate starting formation of negative divergence suggest the pair to undergo technical correction and extend its losses towards the support level 1.3290.
Resistance level: 1.3335, 1.3380
Support level: 1.3290, 1.3260
USDCHF, H4: USDCHF was traded higher while currently testing near the resistance level 0.9955. MACD which display bullish bias and the formation of golden cross suggest the pair to extend its gains after a breakout above the resistance level.
Resistance level: 0.9955, 0.9990
Support level: 0.9920, 0.9865
CrudeOIL, H1: Crude oil price was traded higher while currently testing near resistance level 54.20. MACD which illustrate bullish momentum suggest the commodity to extend its gains after a breakout above the resistance level.
Resistance level: 54.20, 55.90
Support level: 52.45, 51.35
GOLD_, H4: Gold was traded lower while currently testing near the support level 1221.10. MACD which illustrate bearish momentum and the formation of death cross suggest the commodity to extend its losses after a breakout below the support level.
Resistance level: 1225.50, 1231.00
Support level: 1221.10, 1216.80