22 March 2021 Morning Session Analysis
Japanese Yen dived amid dovish stance from BoJ.
Japanese Yen which act as one of the safe haven currencies in FX market wobbled as Bank of Japan (BoJ) decided to widen the interest rate band which allowed the long term rate to move around its target, as part of the measure of its ultra-easing policy to combat the fallout of pandemic. After the two days meeting, BoJ board of members unanimously agreed to maintain its cash rate at -0.1%, while leaving the bond purchase ceiling at 12 trillion yen annually, Besides, BoJ stressed that the cost rate will be remained at low level to support the economy that hit badly by the outbreak of Covid-19. Besides, the significant jump in US treasury yield further boosted the value of the currency pair USDJPY to higher level. In last trading session, US treasury yield surged to 14 months high after Federal Reserve declined to extend a pandemic-era rule that relaxed the amount of capital banks had to maintain against Treasury and other holdings. With the backdrop of letting the plan expired, it may urge the banks to sell-off their treasury holdings in order to fulfil the requirement of Statutory Liquidity Ratio (SLR) and eventually pushed the treasury yield to a higher level. As of writing, the pair of USD/JPY surged 0.02% to 108.90.
In the commodities market, the crude oil rose by 0.01% to $61.45 per barrel after countries decided to resume using the Astra Zeneca vaccine. Last week, the European Medicines Agency (EMA) concluded that the benefit of the vaccine outweighs the possible risk of side effect, while emphasizing that the vaccine is safe and effective to be used. Besides, the gold price appreciated by 0.05% to $1746.99 per troy ounce amid the resurgence of virus across Europe countries lifted the market demand toward the safe-haven asset.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
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Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 22:00 | USD – Existing Home Sales (MoM)(Feb) | 6.69M | 6.49M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the previous resistance level at 91.55. MACD which illustrated bullish bias momentum suggest the index to extend its gains toward the resistance level at 92.10.
Resistance level: 92.10, 92.60
Support level: 91.55, 91.25
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.3845. MACD which illustrated bearish bias momentum suggest the pair to extend its losses toward the support level at 1.3755.
Resistance level: 1.3845, 1.3990
Support level: 1.3755, 1.3625
EURUSD, H4: EURUSD was traded lower following prior breakout below the previous support level at 1.1890. MACD which illustrated bearish momentum signal suggest the pair to extend its losses toward the support level at 1.1830.
Resistance level: 1.1890, 1.1990
Support level: 1.1830, 1.1755
USDJPY, H4: USDJPY was traded lower following prior retracement from the resistance level at 109.20. MACD which illustrated bearish bias momentum signal suggest the pair to extend its losses toward the lower level.
Resistance level: 109.20, 109.65
Support level: 108.35, 107.85
AUDUSD, H4: AUDUSD was traded lower while currently testing the support level at 0.7700. MACD which illustrated bearish bias momentum suggest the pair to extend its losses after it successfully breakout below the support level at 0.7700.
Resistance level: 0.7730, 0.7780
Support level: 0.7700, 0.7655
NZDUSD, H4: NZDUSD was traded lower following prior breakout below the previous support level at 0.7175. MACD which illustrated bearish bias momentum suggests the pair to extend its losses toward the support level at 0.7105.
Resistance level: 0.7175, 0.7225
Support level: 0.7105, 0.7075
USDCAD, H4: USDCAD was traded higher following prior rebound from the support level at 1.2485. MACD which illustrate bullish bias momentum signal suggest the pair to extend its gains toward the resistance level at 1.2555.
Resistance level: 1.2555, 1.2610
Support level: 1.2485, 1.2400
USDCHF, H4: USDCHF was traded higher following prior breakout above the previous resistance level at 0.9280. MACD which illustrated bullish bias momentum suggest the pair to extend its gains toward the resistance level at 0.9370.
Resistance level: 0.9370, 0.9430
Support level: 0.9280, 0.9225
CrudeOIL, H4: Crude oil price was traded higher following prior breakout above the previous resistance level at 60.65. MACD which illustrated diminishing bearish momentum suggest the commodity to extend its gains toward the resistance level at 62.60.
Resistance level: 62.60, 63.70
Support level: 60.65, 59.30
GOLD_, H4: Gold price was traded higher following prior breakout above the previous resistance level at 1738.10. MACD which illustrated diminishing bearish momentum signal suggest the commodity to extend its gains toward the resistance level at 1765.20.
Resistance level: 1765.20, 1786.55
Support level: 1738.10, 1718.15