29 October 2021 Morning Session Analysis
Dollar slumped amid downbeat data.
The Dollar Index which traded against a basket of six major currency pairs slumped over the backdrop of a string of bearish economic data from the U.S. region yesterday. According to Bureau of Economic Analysis, U.S. Gross Domestic Product (GDP) for last quarter notched down significantly from the previous reading of 6.7% to 2.0%, missing the market forecast at 2.7%. Meanwhile, National Association of Realtor reported that the U.S. Pending Home Sales for last month also declined significantly from the previous reading of 8.1% to -2.3%, which also worse than market expectation at 0.5%. Such bearish economic data had indicated that the U.S. economic growth slowed more than expected in the third quarter amid snarled supply chains as well as spiking numbers of Covid-19 cases continue to weigh down the consumer spending and investment. Nonetheless, the losses experienced by the US Dollar was limited by the upbeat job data. According to Department of Labor, U.S. Initial Jobless Claims came in at 281K, better than the market expectation at 290K. As of writing, the Dollar Index depreciated by 0.47% to 93.335.
In the commodities market, the crude oil price depreciated by 0.14% to 83.39 per barrel as of writing. The oil market edged lower following United States resumed the nuclear talks with Iran. A deal for the nuclear talks could pave the way to lifting harsh sanctions imposed by the former U.S. President Donald Trump on Iran’s oil export, which could be increasing the global oil supply. On the other hand, the gold price appreciated by 0.08% to $1800.45 per troy ounces as of writing amid weakening US Dollar.
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 |
| 16:00 | EUR – German GDP (QoQ) (Q3) | 1.60% | 2.20% | – |
| 17:00 | EUR – CPI (YoY) (Oct) | 3.40% | 3.70% | – |
| 20:30 | CAD – GDP (MoM) (Aug) | -0.10% | 0.70% | – |
Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded lower following prior breakout below the previous support level at 93.40. MACD which illustrated increasing bearish momentum suggest the index to extend its losses toward support level at 93.05.
Resistance level: 93.40, 93.95
Support level: 93.05, 92.70
GBPUSD, H4: GBPUSD was traded higher following prior rebound from the support level at 1.3730. MACD which illustrated increasing bullish momentum suggest the pair to extend tis gains toward resistance level at 1.3825.
Resistance level: 1.3825, 1.3880
Support level: 1.3730, 1.3665
EURUSD, Daily: EURUSD was traded higher while currently testing the resistance level at 1.1680. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.1680, 1.1875
Support level: 1.1530, 1.1370
USDJPY, H4: USDJPY was traded lower while currently testing the support level at 113.45. However, MACD which illustrated diminishing bearish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 114.55, 115.40
Support level: 113.45, 112.05
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level at 0.7530. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.7530, 0.7595
Support level: 0.7435, 0.7380
NZDUSD, H4: NZDUSD was traded higher following prior rebound from the support level at 0.7155. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.7240, 0.7300
Support level: 0.7155, 0.7110
USDCAD, H4: USDCAD was traded lower while currently testing the support level at 1.2295. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.2440, 1.2525
Support level: 1.2295, 1.2170
USDCHF, Daily: USDCHF was traded lower following prior breakout below the previous support level at 0.9155. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses toward support level at 0.9075.
Resistance level: 0.9155, 0.9225
Support level: 0.9075, 0.9005
CrudeOIL, H4: Crude oil price was traded higher while currently testing the resistance level at 83.30. MACD which illustrated diminishing bearish momentum suggest the commodity to extend its gains after it successfully breakout above the resistance level.
Resistance level: 83.30, 85.85
Support level: 81.50, 78.90
GOLD_, H1: Gold price was traded lower while currently testing the support level at 1798.25. MACD which illustrated increasing bearish momentum suggest the commodity to extend its losses after it successfully breakout below the support level.
Resistance level: 1808.90, 1816.10
Support level: 1798.25, 1787.55