26 June 2019 Morning Session Analysis
Dollar saved by Powell comments.
Dollar index measuring against a basket of six major currency pairs was traded higher by 0.08% to 95.68 during early Asian trading session following Fed Chairman Jerome Powell speech at the Council on Foreign Relations. On Tuesday, dollar received further pressure from its downbeat CB Consumer Confidence data which slump to 121.5, missing its forecasted value of 131.1 while their New Home Sales falling to 626K, missing economists’ forecast of 680K. However, the downward pressure was lifted during Powell’s speech where he commented on Fed’s monetary policy outlook as well as replying the recent critic from US President Donald Trump regarding their interest rate. Powell stressed that the Fed will still remain as an independent entity from the government and warned that Fed had seen damage which arises in the long-run when policy changes are made for short-term political interests. Relating to their monetary policy review, Powell stated that they will continue to monitor upcoming economic outlook performance and will act accordingly to sustain the economy. In other news, reports from Bloomberg stated that the US is willing to delay the next round of tariffs on additional $300 billion Chinese goods while they are set to meet and resume trade negotiations during the G20 summit in Japan this week. Although it is still under consideration, the confirmation would most likely be announced after the G20 summit. The diminishing market risk had increase investors’ risk appetite, causing them to enter into dollar market as they sell safe-haven assets. As of writing, pair of USD/JPY was up by 0.18% to 107.35.
As for commodities market, crude oil price ticked up by 0.03% to $58.74 per barrel following a major slump in its inventories. According to the American Petroleum Institute, oil stock fell by 7.550M, recording a fall in stockpile for two consecutive weeks. On the other hand, gold price plunged by 0.58% to $1,414.93 a troy ounce amid heightened market risk appetite.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
17:15 GBP BoE Gov Carney Speaks
17:15 GBP Inflation Report Hearings
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 20:30 | USD – Core Durable Goods Orders (MoM) (May) | 0.0% | 0.1% | – |
| 22:30 | CrudeOIL – Crude Oil Inventories | -3.106M | -2.540M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior rebound from the support level at 95.45. MACD which illustrate persistent bullish momentum suggest dollar to extend its gains towards the resistance level at 95.85.
Resistance level: 95.85, 96.15
Support level: 95.45, 95.10
GBPUSD, H4: GBPUSD was traded lower following prior breakout below the previous support level at 1.2695. MACD which illustrate bearish momentum suggest the pair to extend its losses toward the next support level at 1.2610.
Resistance level: 1.2695, 1.2750
Support level: 1.2610, 1.2555
EURUSD, H4: EURUSD was traded lower while currently testing the support level 1.1355. MACD which display bearish momentum suggest the pair to extend its losses after successfully breaking below the support level at 1.1355.
Resistance level: 1.1395, 1.1435
Support level: 1.1355, 1.1320
USDJPY, H4: USDJPY was traded higher following prior rebound from the support level at 106.75. MACD which illustrate bullish bias signal suggest the pair to extend its gains toward the resistance level at 107.45.
Resistance level: 107.45, 107.85
Support level: 106.65, 106.05
AUDUSD, Daily: AUDUSD was traded higher while currently testing the resistance level at 0.6965. MACD which illustrate bullish momentum suggest the pair to extend its gains after successfully breakout out above the resistance level.
Resistance level: 0.6965, 0.6995
Support level: 0.6935, 0.6910
NZDUSD, H4: NZDUSD was traded lower following prior breakout below the previous support level at 0.6640. MACD which display bearish momentum with the formation of death cross suggest the pair to extend its losses toward the support level at 0.6600.
Resistance level: 0.6640, 0.6670
Support level: 0.6600, 0.6570
USDCAD, H1: USDCAD was traded flat within tight range while currently testing 50 moving average (Blue) line. MACD which illustrate bullish bias momentum suggest the pair to extend its gains after successfully breakout above the 50 moving average line.
Resistance level: 1.3220, 1.3255
Support level: 1.3165, 1.3130
USDCHF, H4: USDCHF was traded higher while currently testing the resistance level 0.9755. MACD which display bullish momentum suggest the pair to extend its gains after successfully breakout above the resistance level.
Resistance level: 0.9755, 0.9810
Support level: 0.9705, 0.9645
CrudeOIL, H4: Crude oil price was traded higher while following prior breakout above the resistance level at 58.25. MACD which illustrate bullish signal suggest the commodity to extend its gains toward the next resistance level at 59.70.
Resistance level: 59.70, 60.50
Support level: 58.25, 57.05
GOLD_, H1: Gold was traded lower while currently testing the support level at 1415.00. MACD which illustrate bearish momentum and the formation of death cross suggest the pair to extend its losses after successfully breakout below the support level at 1415.00.
Resistance level: 1440.00, 1458.40
Support level: 1415.00, 1400.00