22 April 2021 Afternoon Session Analysis
Pound remains supported despite downbeat data.
During late Asian session, the pound sterling which traded against the dollar and other currency pairs remain resilient and rose despite with weaker than expected inflation data. According to National Statistics, CPI for yearly basis slips to 0.7%, missing market expectation of 0.8%. However, the market remain unfazed and stay positive following news of U.K government to reopen all sectors of economy by May. Following strong vaccination rollout and dwindling COVID-19 cases, lockdown restrictions in the U.K have been slowly eased. U.K Prime Minster Boris Johnson previously stated that the U.K will reopen all sectors of economy if cases fell to a minimum level. The economy reopening would lead to significant recovery in near term, thus help support the pound sentiment. At the time of writing, GBP/USD rose 0.11% to $1.3941.
In the commodities market, crude oil price plunged 0.10% to $60.95 per barrel as of writing following talks of deals for Iran to export crude oil. Following a meeting in Vienna, Biden administration has given a signal to ease sanctions on Iran that already hurt their economy like the crude oil sector and finance to reduce tensions and facilitate negotiations on denuclearization. The agreement would allow Iran to re -exporting crude oil and it is expected to increase crude oil supply by 2 million barrels a day in the global market. On the other hand, gold price edge higher 0.05% to $1794.51 a troy ounce at the time of writing amid ongoing dollar weakness.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
20:30 EUR ECB Press Conference
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 19:45 | EUR – ECB Interest Rate Decision (Apr) | 0.00% | 0.00% | – |
| 20:30 | USD – Initial Jobless Claims | 576K | 625K | – |
| 22:00 | USD – Existing Home Sales (Mar) | 6.22M | 6.18M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing the support level at 90.95. MACD which illustrated diminishing bullish momentum suggest the index to extend its losses after it successfully breakout below the support level.
Resistance level: 91.25, 91.55
Support level: 90.95, 90.70
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.3945. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.3945, 1.3990
Support level: 1.3910, 1.3865
EURUSD, H4: EURUSD was traded higher following prior breakout above the previous resistance level at 1.2030. MACD which illustrated diminishing bearish momentum signal suggest the pair to extend its gains toward the resistance level at 1.2065.
Resistance level: 1.2065, 1.2100
Support level: 1.2030, 1.1990
USDJPY, Daily: USDJPY was traded lower following prior breakout below the previous support level at 108.30. MACD which illustrated bearish bias momentum signal suggest the pair to extend its losses toward the support level at 107.65.
Resistance level: 108.30, 109.20
Support level: 107.65, 107.00
AUDUSD, Daily: AUDUSD was traded higher while currently testing the resistance level at 0.7760. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level at 0.7760.
Resistance level: 0.7760, 0.7815
Support level: 0.7715, 0.7665
NZDUSD, Daily: NZDUSD was traded higher following prior rebound from the support level at 0.7170. MACD which illustrated bullish bias momentum signal suggests the pair to extend its gains toward the resistance level at 0.7235.
Resistance level: 0.7235, 0.7300
Support level: 0.7170, 0.7110
USDCAD, H4: USDCAD was traded lower while currently testing the support level at 1.2510. MACD which illustrated bearish bias momentum suggest the pair to extend its losses after it successfully breakout below the support level at 1.2510.
Resistance level: 1.2630, 1.2775
Support level: 1.2510, 1.2390
USDCHF, Daily: USDCHF was traded lower following prior breakout below the previous support level at 0.9185. MACD which illustrated bearish bias momentum suggests the pair to extend its losses toward the support level at 0.9110.
Resistance level: 0.9185, 0.9220
Support level: 0.9110, 0.9030
CrudeOIL, H4: Crude oil price was traded lower following prior breakout below the previous support level at 61.35. MACD which illustrated bearish bias momentum suggest the commodity to extend its losses toward the support level at 59.85.
Resistance level: 61.35, 62.55
Support level: 59.85, 58.70
GOLD_, H4: Gold price was traded higher following prior breakout above the previous resistance level at 1788.50. MACD which illustrated bullish bias momentum signal suggest the commodity to extend its gains toward the resistance level at 1803.40.
Resistance level: 1803.40, 1816.00
Support level: 1788.50, 1768.20