27 December 2021 Afternoon Session Analysis
Yen slumped amid inflation fears.
The Japanese Yen slumped following the Japan’s cabinet approved an annual budget of $940 billion that is a record for a tenth straight year, underscoring a priority of boosting the economic momentum in Japan region. Investors remained concerns that such significant government spending combined with the ultra-loose monetary policy would cause the Bank of Japan to release more money circulation into the economy, which leads to higher inflation rate in future. Public debt in Japan as for now is more than twice the size of its $5 trillion economy, the highest among industrialised countries. Nonetheless, the gains experienced by the Japanese Yen was limited over the backdrop of bullish economic data. According to Ministry of Economy, Trade and Industry, Japan Retail Sales notched up significantly from the previous reading of 0.9% to 1.9%, exceeding the market forecast at 1.7%. As of writing, USD/JPY appreciated by 0.01% to 114.42.
In the commodities market, the crude oil price depreciated by 0.53% to $73.65 per barrel as of writing. The crude oil price edged lower amid spiking numbers of Omicron variant around the world had continue to weigh down the appeal for this black-commodity. On the other hand, the gold price appreciated by 0.10% to $1810.65 per troy ounces as of writing amid prospect negative toward the Omicron variant had stoked a shift in sentiment toward safe-haven asset, spurring market demand on gold.
Today’s Holiday Market Close
Time Market Event
All Day US Christmas
All Day Germany Christmas
All Day Switzerland Christmas
All Day UK Christmas
All Day Australia Christmas
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
N/A
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower while currently near the support level at 95.65. However, MACD which illustrated diminishing bearish momentum suggest the index to be traded higher in short-term as technical correction.
Resistance level: 96.90, 97.50
Support level: 95.65, 94.90
GBPUSD, H4: GBPUSD was traded higher following prior breakout above the previous resistance level at 1.3355. MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.3505, 1.3630
Support level: 1.3355, 1.3195
EURUSD, H4: EURUSD was traded higher while currently testing the resistance level at 1.1345. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 1.1345, 1.1440
Support level: 1.1235, 1.1175
USDJPY, Daily: USDJPY was traded higher while currently testing the resistance level at 114.40. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 114.40, 115.40
Support level: 112.80, 112.05
AUDUSD, Daily: AUDUSD was traded higher following prior breakout above the resistance level at 0.7175. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 0.7365.
Resistance level: 0.7365, 0.7535
Support level: 0.7175, 0.6995
NZDUSD, Daily: NZDUSD was traded higher while currently testing the resistance level at 0.6895. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 0.6895, 0.7150
Support level: 0.6690, 0.6510
USDCAD, H4: USDCAD was traded lower following prior breakout below the previous support level at 1.2840. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.2840, 1.2935
Support level: 1.2765, 1.2695
USDCHF, H4: USDCHF was traded lower while currently testing the support level at 0.9190. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.9260, 0.9315
Support level: 0.9190, 0.9150
CrudeOIL, H4: Crude oil price was traded lower while currently testing the support level at 73.10. MACD which illustrated diminishing bullish momentum suggest the commodity to extend its losses after it successfully breakout below the support level.
Resistance level: 75.10, 78.85
Support level: 73.10, 69.55
GOLD_, H4: Gold price was traded higher while currently testing the resistance level at 1811.50. However, MACD which illustrated diminishing bullish momentum suggest the commodity to be traded lower in short-term as technical correction.
Resistance level: 1811.50, 1830.55
Support level: 1786.30, 1762.20