22 June 2018 Daily Analysis
Sterling skyrocketed following hawkish BoE.
US dollar pared its gains on yesterday following weaker-than-expected Philly Fed report while coupled with a rebound in Pound Sterling. The dollar index quoted down 0.20% while last seen around 94.48. According to Philadelphia Fed, its manufacturing index for the month of June fell to a reading of 19.9, missing economist expectation with a reading of 28.9. On the contrary, losses on the greenback were limited after Initial Jobless Claims reportedly fell by 3,000 individuals to a total of 218,000 for last week, confounding economist expectation for a rise to 220,000. Elsewhere, pair of GBP/USD notched up 0.05% to $1.3247 during Asian trading hours following hawkish rhetoric from the Bank of England (BoE). In a widely expected policy meeting to remain neutral on their interest rate, vote count shows an uptick in the number of policymakers who calls for a rate hike, suggesting higher prospect for further monetary policy tightening later this year.
In the commodities market, crude oil price edged up 0.03% to $65.97 per barrel while investors await the outcome of OPEC meeting that is slated to be announced by today. Previously, the oil cartel suggested to increase their output by 1 million barrels in order to offset shortages from Venezuela and Iran. Similarly, gold price ticked up 0.01% to $1,267.22 a troy ounce following a slight retracement of the greenback.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
Tentative CrudeOIL OPEC Meeting
Today’s Highlight Economy Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 07:30 | JPY – National Core CPI (YoY) (May) | 0.7% | 0.7% | 0.7% |
| 15:30 | EUR – German Manufacturing PMI (Jun) | 56.9 | 56.3 | – |
| 15:30 | EUR – German Services PMI (Jun) | 52.1 | 52.2 | – |
| 20:30 | CAD – Core CPI (MoM) (May) | 0.1% | – | – |
| 20:30 | CAD – Core Retail Sales (MoM) (Apr) | -0.2% | 0.5% | – |
| 01:00 | CrudeOIL – Baker Hughes Oil Rig Count | 863 | – | – |
GBPUSD
GBPUSD, H4: GBPUSD pared its losses following a sharp rebound from the support level at 1.3140. MACD histogram which illustrate upward signal suggests the pair to extend its gains, towards the direction of 1.3290.
Resistance level: 1.3290, 1.3345
Support level: 1.3185, 1.3140
EURUSD
EURUSD, H4: EURUSD was traded higher following prior rebound from the support level of 1.1550. MACD histogram which illustrate upward signal may suggest the pair to extend its gains and test near the strong resistance level of 1.1645.
Resistance level: 1.1645, 1.1710
Support level: 1.1550, 1.1445
USDJPY
USDJPY, H1: USDJPY was traded lower following prior breakout from the upward trendline. However, MACD histogram which illustrate diminishing downward momentum may suggest the pair to be traded higher in short-term as technical correction before extending its bearish bias.
Resistance level: 110.10, 110.25
Support level: 109.80, 109.50
CrudeOIL
CrudeOIL, H4: Crude oil price extended gains while currently testing at the top level of descending wedge. MACD histogram which illustrate bullish signal suggest the commodity price to advance further up in the event of a breakout from the top level.
Resistance level: 67.40, 69.50
Support level: 65.75, 64.10
GOLD
GOLD_, H1: Gold price was traded higher while currently testing near the downward trendline. MACD histogram which illustrate bullish signal suggest the commodity price to extend its gains after successfully breaking the downward trendline.
Resistance level: 1275.80, 1285.20
Support level: 1264.00, 1260.00