26 January 2021 Afternoon Session Analysis
Dollar remain firm following doubts over U.S stimulus.
During late Asian session, the U.S dollar which traded against a basket of six major currency pairs have steadied as doubts over U.S stimulus have tempered market mood and triggered market to move into safe-haven markets. As of now, Investors had thought that Democrats’ control of U.S. Congress, won at Senate runoff elections in early January, could smoothen the progress of enormous pandemic relief spending. However, risk appetite has slowly waned in the meantime as familiar disagreements have emerged to delay the U.S stimulus from President Joe Biden’s $1.9 trillion. Some senators have objected to certain aspects of the proposal, such as direct payments for families making $300,000 a year. At the same time, surging coronavirus cases in the world also further dampened market risk appetite and boosting demand for the greenback as a safe-haven currency. At the time of writing, dollar index rose 0.03% to 90.27.
In the commodities market, crude oil price slips 0.74% to $52.45 per barrel as of writing amid rising coronavirus cases and U.S stimulus doubts. European nations have set tough restrictions to combat the spread of the virus, while China is reporting rising new COVID-19 cases which have affected demand prospects in the world’s largest energy consumer. On top of that, Biden administration officials are also trying to convince Republican lawmakers of the need for more stimulus, raising questions over when it will be approved. On the other hand, gold price edge lower 0.09% to $1860.05 a troy ounce at the time of writing following rising dollar strength.
Today’s Holiday Market Close
Time Market Event
All Day AUD Australia Day
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 15:00 | GBP – Average Earning Index + Bonus (Nov) | 2.7% | 2.9% | – |
| 15:00 | GBP – Claimant Count Change (Dec) | 64.3K | 35.0K | – |
| 23:00 | USD – CB Consumer Confidence (Jan) | 88.6 | 89.0 | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently near the resistance level at 90.45. MACD which illustrated increasing bullish momentum suggest the index to extend its gains after it successfully breakout above the resistance level.
Resistance level: 90.45, 90.90
Support level: 89.80, 89.15
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.3685. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward the support level at 1.3625.
Resistance level: 1.3685, 1.3735
Support level: 1.3625, 1.3545
EURUSD, H4: EURUSD was traded lower while currently testing the support level at 1.2135. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.2180, 1.2215
Support level: 1.2135, 1.2075
USDJPY, H1: USDJPY was traded lower while currently testing the support level at 103.65. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 103.85, 104.00
Support level: 103.65, 103.45
AUDUSD, H4: AUDUSD was traded lower following prior retracement from the resistance level at 0.7735. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.7735, 0.7785
Support level: 0.7670, 0.7610
NZDUSD, H4: NZDUSD was traded lower following prior retracement from the resistance level at 0.7235. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward support level at 0.7165.
Resistance level: 0.7235, 0.7305
Support level: 0.7165, 0.7110
USDCAD, H4: USDCAD was traded higher following prior breakout above the previous resistance level at 1.2720. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.2805, 1.2865
Support level: 1.2720, 1.2630
USDCHF, H4: USDCHF was traded higher following prior rebound from the support level at 0.8845. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 0.8920.
Resistance level: 0.8920, 0.8980
Support level: 0.8845, 0.8800
CrudeOIL, H4: Crude oil price was traded within a range while currently near the support level at 51.75. MACD which illustrated increasing bullish momentum suggest the commodity to be traded higher in short-term as technical correction.
Resistance level: 54.00, 55.80
Support level: 51.75, 50.00
GOLD_, H1: Gold price was traded higher while currently testing the resistance level at 1861.20. MACD which illustrated increasing bullish momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1861.20 1875.00
Support level: 1843.30, 1827.50