28 April 2017 Daily Analysis
Euro dislocated upon dovish Draghi.
Euro took a step back against its US counterpart following dovish remarks from European Central Bank President Mario Draghi on yesterday. Pair of EUR/USD depreciated by 0.06% to $1.0867 as of writing. The single common currency loses its ground after Draghi stated that eurozone’s economic recovery is “increasingly solid” albeit inflationary pressure remained “subdued” for the time being. His comments came fresh after European Central Bank revealed their interest rate decision by leaving the benchmark rates unchanged at a record low of 0.00%. Meanwhile, US dollar held on to some gains after rising 0.13% to 98.98 against six major peers. The greenback continued to march higher for second day despite weaker-than-expected economic data from Initial Jobless Claims and Core Durable Goods Orders. At present, market participants will be eyeing on a series of economic data bound to be released by several major economic players such as EU, UK and the US in order to gauge overall market sentiment and direction.
Looking into the commodities market, crude oil price mends prior losses after rebounding 0.53% to $49.23 this morning. In spite of that, oil prices were still on track for a second consecutive weekly losses over concerns that an OPEC-led production cut has failed to significantly reduce an oversupply in the market. Otherwise, gold price was slightly higher, up 0.06% to $1,264.40 while remained under pressure due to diminishing global risk.
Today’s Holiday Market Close
Time Market Event
Today’s Highlight Events
Time Market Event
Today’s Highlight Economy Data
|Time||Nation & Data||Previous||Forecast||Actual|
|07:30||JPY – Household Spending (MoM) (Mar)||2.5%||-0.8%||-2.0%|
|07:30||JPY – National Core CPI (YoY) (Mar)||0.3%||0.3%||0.2%|
|09:00||NZD – ANZ Business Confidence (Apr)||11.3||–||11.0|
|14:00||EUR – German Retail Sales (MoM) (Mar)||1.8%||-0.3%||–|
|16:30||GBP – GDP (QoQ) (Q1)||0.7%||0.4%||–|
|17:00||EUR – CPI (YoY) (Apr)||1.5%||1.8%||–|
|20:30||USD – GDP (QoQ) (Q1)||2.1%||1.2%||–|
|20:30||CAD – GDP (MoM) (Feb)||0.6%||0.1%||–|
|21:45||USD – Chicago PMI (Apr)||57.7||56.4||–|
|22:00||USD – Michigan Consumer Sentiment (Apr)||98.0||98.0||–|
|01:00||Crude Oil – US Baker Hughes Oil Rig Count||688||–||–|
GBPUSD, H4: GBPUSD has recently broke out from top level of trading range, signaling a change in trend direction to move further upwards. A successful closure above the resistance level of 1.2915 would suggest an extension of uptrend.
Resistance level: 1.2915, 1.2980
Support level: 1.2855, 1.2770
EURUSD, H1: EURUSD remains traded within a descending triangle while recently rebounded near the support level of 1.0850. The rebound suggests EURUSD to be traded higher in short-term towards the target of resistance level at 1.0890. Long-term trend direction could only be determined after a breakout from either side of the triangle.
Resistance level: 1.0890, 1.0920
Support level: 1.0850, 1.0820
USDJPY, H4: USDJPY was traded flat following prior retracement from the resistance level of 111.30. With regards to MACD indicator which hovers outside of upward momentum, USDJPY may be traded lower in short-term as technical correction. Otherwise, upward expansion of both MA lines suggests an extension of uptrend in the long-term.
Resistance level: 111.30, 111.75
Support level: 110.60, 110.15
CrudeOIL, H1: Crude oil price remains traded within a downward channel following prior rebound from bottom level of the channel. A closure above the resistance level of 49.40 would suggest crude oil price to advance towards the upper level of the channel.
Resistance level: 49.40, 49.80
Support level: 48.95, 48.20
GOLD_, H4: Gold price remains traded within a narrowing triangle while currently testing near the bottom level of the triangle. A successful breakout from this level would signal a change in trend direction to move further downwards. Otherwise, a rebound from this level would suggest gold price to be traded higher within the triangle in short-term thereafter.
Resistance level: 1267.45, 1274.00
Support level: 1260.85, 1251.45