27 March 2019 Afternoon Session Analysis
Dollar shines as its peer withers.
Greenback rebounds sharply from its prior low level following broad weakness experienced by other major currencies such as pound sterling and euro. In terms of UK, pound sterling received some bearish momentum as UK lawmakers backed a move to let the parliament take control over Brexit process from UK Prime Minister Theresa May. Such decision has increased political risk within the parliament while deepening the Brexit crisis into next level. UK lawmakers will put forward a range of options over the path of Brexit later today in which a majority win will likely to break the current impasse. However, any option that wins a majority is not legally binding and there is no guarantee that EU will back any of the amendments. Likewise, if the parliament fails to back PM Theresa May withdrawal deal by 12th April, UK might leave the EU without any deal. In terms of EU, euro received broad weakness as market participants fled from the single market following renewed dovish stance from European Central Bank. Prior, ECB adopted the idea of “patient for longer” stance with regards to monetary policy while dialing down EU economic growth significantly for the year 2019. As of writing, the dollar index was up 0.18% to 96.34; GBP/USD was down 0.18% to 1.3184; EUR/USD depreciates by 0.08% to 1.1255.
In terms of commodities market, crude oil price dipped by 0.03% to $59.77 per barrel. Oil prices edged lower during early Asian session after American Petroleum Institute (API) reported an unexpected rise in US crude inventories. However, investors would wait for further signal from Energy Information Administration that may confirm API’s data. On the other hand, gold price ticked down 0.01% to $1,316.28 a troy ounce as it fails to make any substantial gains due to stronger greenback.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
16:00 EUR ECB President Draghi Speaks
Today’s Highlight Economic Data
| Time | Market & Data | Previous | Forecast | Actual |
| 20:30 | USD – Trade Balance (Jan) | -59.80B | -57.00B | – |
| 22:30 | CrudeOIL – Crude Oil Inventories | -9.589M | -1.200M | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher following prior breakout above the previous resistance level 96.25. MACD which illustrate bullish bias signal suggest the dollar to extend its gains towards the resistance level 96.80
Resistance level: 96.80, 97.15
Support level: 96.25, 95.65
GBPUSD, H4: GBPUSD was traded in a sideway channel while currently testing the support level 1.3180. However, MACD which illustrate bearish momentum signal with the formation of death cross suggest the pair to be traded lower after it breaks below the support level 1.3180.
Resistance level: 1.3250, 1.3350
Support level: 1.3180, 1.3095
EURUSD, H4: EURUSD was traded lower following prior breakout below the previous support level 1.1270. MACD which illustrate bearish momentum signal suggest the pair to extend its losses towards the support level 1.1215.
Resistance level: 1.1270, 1.1325
Support level: 1.1215, 1.1180
USDJPY, H4: USDJPY was traded higher following prior breakout above the previous resistance level 110.35. However, MACD which illustrate diminishing bullish momentum suggest the pair to experience a technical correction in short term towards back the support level 110.35.
Resistance level: 111.10, 111.75
Support level: 110.35, 109.60
AUDUSD, H4: AUDUSD was traded lower following prior breakout below the previous support level 0.7130. MACD which illustrate bearish bias signal with the starting formation of death cross suggest the pair to extend its losses towards the support level 0.7085.
Resistance level: 0.7130, 0.7155
Support level: 0.7085, 0.7050
NZDUSD, H4: NZDUSD was traded lower following prior breakout below the previous support level 0.6815. MACD which illustrate bearish momentum signal suggest the pair to extend its losses towards the support level 0.6770.
Resistance level: 0.6815, 0.6875
Support level: 0.6770, 0.6725
USDCAD, H4: USDCAD was traded lower following recent retracement from its high level. However, MACD which illustrate diminishing bearish momentum suggest the pair to be traded higher following its major trend towards the resistance level 1.3460.
Resistance level: 1.3460, 1.3570
Support level: 1.3350, 1.3290
USDCHF, H4: USDCHF was traded higher while currently testing near the resistance level 0.9965. MACD which illustrate bullish bias signal suggest the pair to extend its gains after it break above the resistance level 0.9965.
Resistance level: 0.9965, 1.0000
Support level: 0.9915, 0.9855
CrudeOIL, H4: Crude oil price was traded higher while currently testing near the resistance level 60.20. MACD which illustrate bullish bias signal with the formation of golden cross suggest the commodity to extend its gains after it breaks above the resistance level 60.20.
Resistance level: 60.20, 63.10
Support level: 57.90, 55.60
GOLD_, H4: Gold price was traded higher while currently retest the resistance level 1315.80. MACD which illustrate diminishing bearish momentum suggest the commodity to extend its gains after it breaks above the resistance level.
Resistance level: 1315.80, 1323.10
Support level: 1308.10, 1299.15