22 November 2018 Morning Session Analysis
Greenback subdued prior Thanksgiving holidays.
US dollar was traded lower against other major currencies on Wednesday over the backdrop of bearish economic data from the region. As of writing, the dollar index was down 0.12% to 96.53 during Asian trading session. According to US Labour Department, Initial Jobless Claims for last week rose by 3,000 to 224,000, missing economist expectation for a drop to 215,000. In addition, US Commerce Department reported that the Core Durable goods Orders for the month of October rose 0.1%, well below economist forecast of 0.4%. The fall in durable goods orders are mainly due to a pullback in business spending amid concerns towards the impact of US tariffs on Chinese imports. On the other hand, euro received some bullish support from the market following positive progress with regards to Italy budget crisis. Reports suggested that Italy may be open to amend its budget draft for 2019 after EU Commission gears up to take disciplinary action against the country for not adhering to their budget policies. Pair of EUR/USD rose 0.05% to 1.1387 as of writing.
In the commodities market, crude oil price rose 0.11% to $54.48 per barrel. However, analysts warned that such price action could be a market correction as weekly data continues to show persistent uptrend in crude inventories. Otherwise, gold price ticks up 0.03% to $1,225.67 a troy ounce following multiple risk factors that are still present in the market.
Today’s Holiday Market Close
Time Market Event
All day USD United States – Thanksgiving Day
Today’s Highlight Events
Time Market Event
Tentative CrudeOIL OPEC Meeting
20:30 EUR ECB Publishes Account of Monetary Policy Meeting
Today’s Highlight Economic Data
N/A
Technical Analysis
DOLLAR_INDX, H4: Dollar index remains traded within a narrowing triangle while currently testing at the top level. MACD which illustrate bullish signal suggests the index to extend its gains after breaking the top level of the triangle.
Resistance level: 96.60, 97.00
Support level: 96.20, 95.95
GBPUSD, H4: GBPUSD remains traded within a descending channel while recently retraced from 1.2805. MACD which begins to form a bearish signal suggests the pair to extend its losses in short-term, towards the direction of 1.2690.
Resistance level: 1.2805, 1.2895
Support level: 1.2690, 1.2570
EURUSD, H1: EURUSD remains traded within a narrowing triangle while currently testing at the bottom level. Due to the lack of signal from both MACD and price action, it is suggested to wait for a breakout to occur before entering the market.
Resistance level: 1.1400, 1.1450
Support level: 1.1360, 1.1310
USDJPY, H4: USDJPY was traded higher following prior rebound from the lower level. MACD which illustrate bullish signal suggests the pair to extend its gains, towards the direction of resistance lvel at 113.30.
Resistance level: 113.30, 113.70
Support level: 112.95, 112.60
AUDUSD, H4: AUDUSD remains traded within an ascending channel while currently testing at the resistance level of 0.7265. MACD which illustrate diminishing downward momentum suggests the pair to extend its gains after closing above the target of 0.7265.
Resistance level: 0.7265, 0.7340
Support level: 0.7170, 0.7105
NZDUSD, H4: NZDUSD remains traded within a descending channel following prior retracement from the top level. Both MACD and Stochastic Oscillator which illustrate bearish signal suggests the pair to be traded lower in short-term, towards 0.6795.
Resistance level: 0.6855, 0.6970
Support level: 0.6795, 0.6715
USDCAD, H4: USDCAD was traded lower following prior retracement from the upper level. MACD which begins to form a death cross signal suggests the pair to extend its losses after breaking the support level of 1.3210.
Resistance level: 1.3255, 1.3320
Support level: 1.3210, 1.3155
USDCHF, H4: USDCHF was traded higher following prior rebound from the lower levels. MACD which begins to form a golden cross signal suggests the pair to extend its gains after closing above the resistance level of 0.9955.
Resistance level: 0.9955, 1.0000
Support level: 0.9905, 0.9855
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the lower level. MACD which illustrate diminishing downward momentum suggests its prices to be traded higher in short-term as technical correction.
Resistance level: 55.35, 57.00
Support level: 53.90, 49.50
GOLD_, H1: Gold price was traded lower following prior retracement from the top level. MACD which illustrate the imminent formation of death cross suggests its prices to be traded lower in short-term as technical correction.
Resistance level: 1228.00, 1237.25
Support level: 1215.95, 1206.00