25 February 2021 Morning Session Analysis
Japanese Yen plunged amid declining reported virus cases.
The Japanese Yen which act as one of the major safe-haven currencies in the world was being threw off by the investors as market risk sentiment heightened following an obvious drop in global virus cases. According to the World Health Organisation (WHO), global coronavirus cases declined by 11% in the week leading up to February 21, marking the sixth consecutive week of falling in virus confirmed cases. On the death toll front, CNN has reported that there were 66k fatalities recorded as of last week, a 20% lower than the week before. The fall in infections and death rate was mainly contributed by the effort of lockdown measure as well as the effectiveness of the vaccination program. Besides, the one-shot Covid-19 vaccine made by Johnson & Johnson has proved that it provides strong protection against severe diseases and death from pandemic, and credible to reduce the spread of virus by vaccinated people widely. The rollout of vaccines boosted the market participant optimism toward the global market outlook as they believe that the pandemic will come to an end soon. As of writing, the pair of USD/JPY rose by 0.06% to 105.90.
In the commodities market, the crude oil price appreciated by 0.02% to $63.45 per barrel despite oil stock build been shown as of last week. According to the EIA, US Crude Oil Inventories rose by 1.285M, missing the economist forecast at -5.190M, exacerbating the market panic over the supply glut issue. However, oil price still eventually managed to extend its gains as market optimism over economic outlook overweigh the disappointed inventories data. Besides, the gold price depreciated by 0.09% to $1803.20 a troy ounce amid strengthening of dollar index.
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 |
| 21:30 | USD – Core Durable Goods Orders (MoM)(Jan) | 1.1% | 0.7% | – |
| 21:30 | USD – GDP (QoQ)(Q4) | 4.0% | 4.2% | – |
| 21:30 | USD – Initial Jobless Claims | 861K | 838K | – |
| 23:00 | USD – Pending Home Sales Index (Jan) | 125.5 | – | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently testing the support level at 90.00. MACD which illustrated diminishing bullish momentum suggest the index to extend its losses after it successfully breakout below the support level.
Resistance level: 90.45, 90.75
Support level: 90.00, 89.60
GBPUSD, H4: GBPUSD was traded higher while currently testing the resistance level at 1.4150. However, MACD which illustrated bearish bias momentum suggest the pair to undergo technical correction in short term.
Resistance level: 1.4150, 1.4200
Support level: 1.4085, 1.4010
EURUSD, H4: EURUSD was traded higher while currently testing the resistance level at 1.2165. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.2165, 1.2195
Support level: 1.2105, 1.2065
USDJPY, H4: USDJPY was traded higher while currently testing the resistance level at 106.10. MACD which illustrated bullish bias momentum signal suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 106.10, 106.45
Support level: 105.65, 105.30
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level at 0.7970. MACD which illustrated bullish bias momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.7970, 0.8000
Support level: 0.7940, 0.7890
NZDUSD, H4: NZDUSD was traded higher while currently testing the resistance level at 0.7450. MACD which illustrated bullish bias momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.7450, 0.7500
Support level: 0.7415, 0.7375
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level at 1.2555. MACD which illustrate bearish momentum signal suggest the pair to extend its losses toward the support level at 1.2485.
Resistance level: 1.2555, 1.2610
Support level: 1.2485, 1.2400
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level at 0.9090. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward the support level at 0.9040.
Resistance level: 0.9090, 0.9125
Support level: 0.9040, 0.8985
CrudeOIL, H4: Crude oil price was traded higher while currently testing the resistance level at 63.55. MACD which illustrated bullish bias momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 63.55, 64.80
Support level: 62.45, 61.70
GOLD_, H4: Gold price was traded higher following prior rebound from the support level at 1786.55. MACD which illustrated diminishing bearish momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1803.00, 1825.40
Support level: 1786.55, 1765.15