26 December 2019 Morning Session Analysis
Yen slumped amid to positive prospect of trade war
Japanese Yen slumped on Tuesday amid easing trade tension between U.S and China, which stocked a shift in sentiment toward riskier asset while dragged down the appeal of Japanese Yen. According to Reuters, U.S. President Donald Trump claimed on Tuesday that he and Chinese President Xi Jinping will have a signing ceremony to sign the first phase of the U.S.-China trade deal within this month. In fact, Chinese Foreign Ministry spokesman Geng Shuang also reiterated on yesterday that both countries were having a very good negotiation between each other. However, Beijing has not yet confirmed any specific components with regards of the trade deal that were released by U.S. officials. At this time, investors would still continue to scrutinize any updates with regards of the “phase one” trade deal in order to gauge the likelihood movement for the safe-haven until the trade deal is completely signed. As of writing, USD/JPY appreciated by 0.02% to 109.36. On the other hand, the dollar index was traded flat at 97.62 with markets subdued by the holiday break.
In the commodities market, the crude oil price was traded flat at $61.20 per barrel. The oil market edged higher on Tuesday following Russia claimed that they would continue to cooperation with OPEC on supply cuts and amid optimism that the United States and China could finalize a trade agreement soon. On the other hand, gold price skyrocketed on Christmas Eve as investors continued to seek out the yellow metal as an insurance to a potential slide in equity market during the early 2020. As of writing, gold price appreciated by 0.08% to $1499.40 per troy ounces.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 21:30 | Initial Jobless Claims | 234K | 220K | – |
Technical Analysis
DOLLAR_INDX, Daily: Dollar index was traded higher following prior breakout above the previous resistance level at 97.00. MACD which illustrated diminishing bearish momentum suggest the index to extend its gains toward resistance level at 97.55.
Resistance level: 97.55, 98,10
Support level: 97.00, 96.50
GBPUSD, Daily: GBPUSD was traded lower while currently testing the support level at 1.2940. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.3160, 1.3340
Support level: 1.2940, 1.2755
EURUSD, H4: EURUSD was traded higher following prior rebound from the support level at 1.1075. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 1.1105.
Resistance level: 1.1105, 1.1140
Support level: 1.1075, 1.1050
USDJPY, H4: USDJPY was traded within a range while currently testing the support level at 109.30. MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 109.65, 109.95
Support level: 109.30, 108.90
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level at 0.6925. However, MACD which illustrated increasing bearish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.6925, 0.6970
Support level: 0.6880, 0.6845
NZDUSD, Daily: NZDUSD was traded higher following prior rebound from the support level at 0.6785. However, MACD which illustrated increasing bearish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.6665, 0.6725
Support level: 0.6585, 0.6505
USDCAD, Daily: USDCAD was traded higher following prior rebound from the support level at 1.3120. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward resistance level at 1.3220.
Resistance level: 1.3220, 1.3310
Support level: 1.3120, 1.3045
USDCHF, H4: USDCHF was traded lower while currently testing the support level at 0.9795. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 0.9835, 0.9875
Support level: 0.9795, 0.9750
CrudeOIL, Daily: Crude oil price was traded higher following prior breakout above the previous resistance level at 60.70. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 62.30, 63.70
Support level: 60.70, 58.85
GOLD_, H4: Gold price was traded higher following prior breakout above the previous resistance level at 1488.25. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction
Resistance level: 1497.85, 1511.00
Support level: 1488.25, 1475.25