27 April 2018 Daily Analysis
Euro plunged over Draghi’s mixed statement.
Dollar index was traded relatively higher against a trade-weighted basket of major currencies above its 90.0 key level, last stood at 91.35 following a mixed press conference delivered by the European Central Bank (ECB) president Mario Draghi. Overnight, the Greenback slipped a little before ECB press conference following retracement of the U.S. 10-year treasury yield below 3% as a plunge in the 10-year treasury price over recent sessions attracted a wave of buying. Overall, losses endured by the Greenback was limited after the ECB decided to leave its interest rate unchanged as widely expected at 0.00% while reiterated its plan to continue buying bonds until at least the end of September or until inflation has reached to its 2% target in respective towards “solid and broad based” economic growth in the European zone. However, gains of the Euro was short-lived after President Draghi warned over rising global risks such as protectionism and there has been no plan discussed yet for its June meeting. His statement has disappointed market participants when they expected the officials to set a detailed roadmap for its future monetary policy plans. Following his comments, EUR/USD plunged 0.44% to $1.2100 seen.
In the commodities market, crude oil price was down 0.2% to $67.90 per barrel while market participants mulled over potential supply disruption in Iran. As such, investors will keep their eyes on the release of U.S. Baker Hughes Oil Rig Count to grasp the direction of the commodity price in short-term. Likewise, gold price plunged 0.37% to $1316.50 a troy ounce following the Dollar that remained firm on a higher level.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
Tentative JPY BoJ Monetary Policy Statement
Tentative JPY BoJ Outlook Report (YoY)
Tentative JPY BoJ Press Conference
22:00 GBP BoE Govenor Carney Speaks
Today’s Highlight Economy Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 06:45 | NZD – Trade Balance (MoM) (Mar) | 217M | 200M | -86M |
| 07:30 | JPY – Tokyo Core CPI (YoY) (Apr) | 0.8% | 0.8% | 0.6% |
| Tentative | JPY – BoJ Interest Rate Decision | -0.10% | -0.10% | – |
| 14:00 | GBP – Nationwide HPI (MoM) (Apr) | -0.2% | – | – |
| 15:55 | EUR – German Unemployment Change (Apr) | -19K | -15K | – |
| 16:30 | GBP – GDP (QoQ) (Q1) | 1.4% | 1.4% | – |
| 20:30 | USD – GDP (QoQ) (Q1) | 2.9% | 2.0% | – |
| 20:30 | USD – Employment Cost Index (QoQ) (Q1) | 0.6% | 0.7% | – |
| 20:30 | USD – GDP Price Index (QoQ) (Q1) | 2.3% | 2.2% | – |
| 22:00 | USD – Michigan Consumer Sentiment (Apr) | 97.8 | 98.0 | – |
| 01:00 | CrudeOIL – US Baker Hughes Oil Rig Count | 820 | – | – |
GBPUSD
GBPUSD, H4: GBPUSD was traded lower prior breaking support level at 1.3970 and the pair is currently testing the next support level at 1.3900. It is suggested to wait for confirmation breakout of candlestick before entering the next trade.
Resistance level: 1.3970, 1.4000
Support level: 1.3900, 1.3860
EURUSD
EURUSD, H4: EURUSD was traded lower prior breaking support level at 1.2160. MACD that portrays ongoing downside momentum would suggest the pair to extend its losses towards the support level at 1.2050.
Resistance level: 1.2160, 1.2240
Support level: 1.2050, 1.1940
USDJPY
USDJPY, H4: USDJPY was traded higher prior gaining its support at 109.20. However, death-cross as shown by MACD signal line would suggest the pair to trade lower if breakout at its previous high is successful.
Resistance level: 109.70, 110.20
Support level: 109.20, 108.50
CrudeOIL
CrudeOIL, H1: Crude oil price was traded lower prior breaking support level at 68.10. MACD that shows increasing downward momentum would suggest the commodity price to extend its losses towards the support at 200-MA line.
Resistance level: 68.10, 68.40
Support level: 67.70, 67.20
GOLD
GOLD_, H1: Gold price was traded lower after breaking support level at 1321.30. However, golden-cross as formed by MACD signal line would suggest the safe-haven asset price to undergo short-term technical correction to trade higher towards its previous low.
Resistance level: 1321.30, 1328.40
Support level: 1313.90, 1307.40