29 January 2021 Morning Session Analysis
Dollar slips following mixed economic data.
The dollar index which gauges its value against a basket of six major currencies sank after investors digesting a series of mixed economic data that announced last night. According to the Bureau of Economic Analysis, US GDP for the fourth quarter in year 2020 came in at 4.0%, parallel with the economist forecast’s reading but far below the previous reading, marking an obvious economic slowdown amidst the pandemic. With a big picture, year 2020 was a horrible year for American as the US annualised GDP decreased by 3.5% from the prior year, where it was the worst decline since year 1946. Besides, it is noteworthy that the US economic recovery is still in the pioneering stage, the nation is still far from its pre-pandemic economic glory and the economic growth was not showing any sign of booming at the moment. However, the losses of dollar was limited after US released a major labour data. In the past week, the number of American who filed for unemployment insurance increased with a diminishing pace from previous reading at 914K to 847K. The revives of job hiring was mainly contributed by the rollout of vaccine and optimism of employer over additional monetary support from Biden administration. As of writing, dollar index dropped 0.12% to 90.55.
In the commodities market, the crude oil price depreciated by 0.10% to $52.10 per barrel as of writing amid heightening of market concern over the fresh travel restriction and delays in vaccination programme may tampered the oil market demand. Besides, gold price ticked up by 0.07% to $1844.10 a troy ounce amid the depreciation of dollar index.
Today’s Holiday Market Close
Time Market Event
N/A
Today’s Highlight Events
Time Market Event
N/A
Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 16:55 | EUR – German Unemployment Change (Jan) | -37K | 6K | – |
| 17:00 | EUR – German GDP (QoQ)(Q4) | 8.5% | – | – |
| 21:30 | CAD – GDP (MoM)(Nov) | 0.4% | 0.4% | – |
| 23:00 | USD – Pending Home Sales (MoM)(Dec) | -2.6% | -0.1% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior breakout below the previous support level at 90.60. MACD which illustrated diminishing bullish momentum suggest the index to extend its losses toward the support level at 90.25.
Resistance level: 90.60, 91.10
Support level: 90.25, 89.90
GBPUSD, H4: GBPUSD was traded higher following prior breakout above the previous resistance level at 1.3700. MACD which illustrated bullish bias momentum suggest the pair to be traded higher toward the resistance level at 1.3805.
Resistance level: 1.3805, 1.3900
Support level: 1.3700, 1.3620
EURUSD, H4: EURUSD was traded higher following prior breakout above the previous resistance level at 1.2120. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 1.2155.
Resistance level: 1.2155, 1.2205
Support level: 1.2120, 1.2065
USDJPY, H4: USDJPY was traded lower following prior retracement from the resistance level at 104.35. MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses toward the support level at 104.00.
Resistance level: 104.35, 104.70
Support level: 104.00, 103.70
AUDUSD, H4: AUDUSD was traded higher following prior breakout above the previous resistance level at 0.7665. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 0.7735.
Resistance level: 0.7735, 0.7770
Support level: 0.7665, 0.7635
NZDUSD, H4: NZDUSD was traded higher following prior breakout above the previous resistance level at 0.7165. MACD which illustrated diminishing bearish momentum suggest the pair to extend its gains toward the resistance level at 0.7240.
Resistance level: 0.7240, 0.7305
Support level: 0.7165, 0.7090
USDCAD, H4: USDCAD was traded higher following prior rebound from the support level at 1.2790. However, MACD which illustrate diminishing bullish momentum suggest the pair to undergo technical correction in short term.
Resistance level: 1.2865, 1.2930
Support level: 1.2790, 1.2695
USDCHF, H4: USDCHF was traded lower while currently testing the upward trendline. Namun, MACD which illustrated diminishing bullish momentum suggest the pair to extend its losses after it successfully breakout below the trendline.
Resistance level: 0.8885, 0.8915
Support level: 0.8855, 0.8820
CrudeOIL, H4: Crude oil price was traded lower following prior breakout below the upward trendline. MACD which illustrated bearish bias momentum suggest the commodity to extend its losses toward the support level at 51.65.
Resistance level: 52.60, 53.75
Support level: 51.65, 50.65
GOLD_, H4: Gold price was traded lower while currently testing the support level at 1842.90. MACD which illustrated bullish bias momentum suggest the commodity to extend its gains toward the resistance level at 1861.05.
Resistance level: 1861.05, 1871.90
Support level: 1842.90, 1825.40