25 May 2020 Afternoon Session Analysis
Aussie rose amid risk reset.
The Aussie dollar which traded against the greenback and other currency pairs have posted modest gains during late Asian session after the lack of U.S response towards the Hong Kong issue triggered risk reset. Despite with the tension between U.S and China continue to keep the buyers worried, the latest silence on the part of US President Donald Trump over the Hong Kong issue have contribute some momentum to the pairs. As US policymakers recently hinted that it will make sure that Hong Kong remains free from Chinese pressure, Beijing announced readiness to enact e legislation that would tighten the nation’s grip over Hong Kong. The majority of the Western world diplomats criticized the Asian major’s efforts to harm the neighbour’s democracy, however the US President Trump is surprisingly silent over the issue. Besides that, lack of major data and US holidays also giving the pair chances to nurses its previous losses. At the time of writing, AUD/USD rose 0.03% to 0.6532.
In the commodities market, crude oil price slips 0.11% to $33.16 per barrel as of writing following U.S.-China tension fueled uncertainty towards the economy. While the recent outlook for the black commodity remains positive, an escalating war of words between the U.S. and China have triggered some concerns over the prospect for a global recovery in demand, thus dragging the sentiment at the moment. In the other hand, gold price fell 0.36% to $1728.70 a troy ounce at the time of writing amid strengthening of dollar.
Today’s Holiday Market Close
Time Market Event
All Day USD Memorial Day
All Day GBP Bank Holiday
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | EUR – German GDP (QoQ)(Q1) | -2.2% | -2.2% | – |
| 16:00 | EUR – German Ifo Business Climate Index (May) | 74.3 | 78.3 | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the previous resistance level 99.50. MACD which illustrate persistent bullish momentum signal suggest the dollar to extend its gains towards the resistance level 100.25.
Resistance level: 100.25, 100.95
Support level: 99.50, 98.70
GBPUSD, H4: GBPUSD was traded lower following recent retracement from the resistance level 1.2255. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to experience short term technical correction back towards the resistance level.
Resistance level: 1.2255, 1.2435
Support level: 1.2070, 1.1870
EURUSD, H4: EURUSD was traded lower while currently testing the support level 1.0885. MACD which illustrate ongoing bearish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 1.0995, 1.1140
Support level: 1.0885, 1.0730
USDJPY, H4: USDJPY was traded higher following prior rebound from the support level 107.35. MACD which illustrate diminishing bearish bias signal with the starting formation of golden cross suggest the pair to extend its gains towards the resistance level 108.05.
Resistance level: 108.05, 108.55
Support level: 107.35, 106.50
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level 0.6560. MACD which illustrate persistent bearish momentum signal suggest the pair to extend its losses towards the support level 0.6390.
Resistance level: 0.6560, 0.6670
Support level: 0.6390, 0.6265
NZDUSD, H4: NZDUSD was traded lower while currently testing near the support level 0.6070. MACD which illustrate persistent bearish momentum signal suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 0.6150, 0.6250
Support level: 0.6070, 0.6005
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level 1.4020. MACD which illustrate diminishing bullish momentum signal suggest the pair to extend its retracement towards the support level 1.3860.
Resistance level: 1.4020, 1.4140
Support level: 1.3865, 1.3685
USDCHF, H4: USDCHF was traded higher while currently testing near the resistance level 0.9730. MACD which illustrate ongoing bullish bias signal suggest the pair to extend its gains after it breaks above the resistance level.
Resistance level: 0.9730, 0.9795
Support level: 0.9665, 0.9595
CrudeOIL, H4: Crude oil price was traded higher while currently testing near the resistance level 35.35. However, MACD which illustrate bearish bias signal suggest the commodity to be traded lower as a technical correction towards the support level 28.00
Resistance level: 35.35, 43.50
Support level: 28.00, 21.35
GOLD_, H4: Gold price was traded lower following prior breakout below the previous support level 1731.20. MACD which display bearish bias signal suggest the commodity to extend its losses towards the support level 1673.95.
Resistance level: 1731.20, 1768.05
Support level: 1673.95, 1607.55