28 October 2021 Afternoon Session Analysis
Australian dollar rose following upbeat economic data.
The Australian dollar which traded against the dollar and other currency pair have rose over the backdrop of upbeat economic data. According to Australian Bureau of Statistic, Australia Consumer Price Index (CPI) in third quarter recorded at the reading of 0.8%, in line with the forecasted reading. In addition, Australia Trimmed Mean Consumer Price Index (CPI) in third quarter came at the reading of 2.1% while exceeding the forecasted reading of 1.8%. Both inflation data suggested that current global supply chain disruption has resulted in rising construction input costs as well as housing prices. According to an economist at Capital Economics, the rising inflation pressure is expected to push the Reserve Bank of Australia (RBA) to scale back its stimulus in the months ahead. However, the overall sentiment toward Australian dollar remains bleak as RBA Governor Philip Lowe argued that the current wage growth of the region remains subdued and unable to keep the inflation sustainably within the 2% band. As of writing, the pair of AUD/USD was up 0.23% to 0.7501.
In the commodities market, the crude oil price slumped 0.12% to $82.18 per barrel as of writing following Iran nuclear talk resurface. According to reports, Iran’s top nuclear negotiator said on Wednesday that Tehran’s talks with six world powers, aimed at reviving its 2015 nuclear deal, will resume by the end of November. On the other hand, gold price rose 0.01% to $1796.25 a troy ounce at the time of writing following dollar retracement.
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)
19:45 EUR ECB Interest Rate Decision (Oct)
20:30 EUR ECB Press Conference
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 15:55 | EUR – German Unemployment Change (Oct) | -30K | -20K | – |
| 19:45 | EUR – ECB Interest Rate Decision (Oct) | – | – | – |
| 20:30 | USD – GDP (QoQ) (Q3) | 6.70% | 2.80% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior retracement from the resistance level 93.85. MACD which illustrate diminishing bullish momentum signal with the formation of death cross suggest the dollar to extend its retracement towards the support level 93.40.
Resistance level: 93.85, 94.45
Support level: 93.40, 93.00
GBPUSD, H4: GBPUSD was traded flat while currently testing the resistance level 1.3755. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to be traded higher after it breaks above the resistance level.
Resistance level: 1.3755, 1.3880
Support level: 1.3650, 1.3555
EURUSD, H4: EURUSD was traded flat while currently testing the resistance level 1.1615. However, MACD which illustrate diminishing bearish momentum signal with the starting formation of golden cross suggest the pair to be traded higher after it breaks above the resistance level.
Resistance level: 1.1615, 1.1680
Support level: 1.1530, 1.1455
USDJPY, H4: USDJPY was traded lower while currently testing near the support level 113.20. MACD which illustrate bearish momentum signal with the formation of death cross suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 114.60, 115.85
Support level: 113.20, 112.00
AUDUSD, H4: AUDUSD was traded flat while currently testing near the support level 0.7485. However, MACD which illustrate bearish momentum signal with the formation of death cross suggest the pair to extend its losses after it breaks below the support level.
Resistance level: 0.7565, 0.7660
Support level: 0.7485, 0.7410
NZDUSD, H4: NZDUSD was traded flat while currently testing the support level 0.7155. However, MACD which illustrate diminishing bearish momentum signal suggest the pair to be traded higher towards the resistance level 0.7230.
Resistance level: 0.7230, 0.7300
Support level: 0.7155, 0.7080
USDCAD, H4: USDCAD remain traded in a sideway channel. However, MACD which illustrate bearish bias signal with the formation of death cross suggest the pair to be traded lower towards the support level 1.2295.
Resistance level: 1.2410, 1.2500
Support level: 1.2295, 1.2200
USDCHF, H4: USDCHF was traded lower following prior retracement from the resistance level 0.9215. MACD which illustrate bearish momentum signal with the formation of death cross suggest the pair to extend its retracement towards the support level 0.9140.
Resistance level: 0.9215, 0.9295
Support level: 0.9140, 0.9080
CrudeOIL, H4: Crude oil price was traded lower while currently testing near the support level 79.35. MACD which illustrate bearish momentum signal suggest the commodity to extend its losses after it breaks below the support level.
Resistance level: 84.55, 88.40
Support level: 79.35, 75.85
GOLD_, H4: Gold price was traded higher following prior rebound from the support level 1781.40. MACD which illustrate diminishing bearish momentum signal suggest the commodity to extend its rebound towards the resistance level 1812.80.
Resistance level: 1812.80, 1831.50
Support level: 1781.40, 1748.55