31 March 2020 Afternoon Session Analysis
Yen slips amid closing end of fiscal year.
The Japanese Yen which traded against the greenback and other currencies have fell during late Asian session after Japanese investors and companies rushed to cover a shortage of the U.S. currency before their fiscal year end. As Tuesday is the last trading day for Japan’s fiscal year and the end of the quarter for major investors, most big players in the market are ready to close their books, thus causing the demand in dollar rose as major companies and investors are buying the greenback to cover a shortage of U.S currencies. Besides that, Japan Prime Minister Shinzo Abe has pledged to lay out a huge stimulus plan which includes cash payouts to households and a scheme for private financial institutions to lend to small firms at zero interest to combat the virus fallout that will exceed the 57-trillion-yen package after the collapse of Lehman Brothers in 2008. While the package will help ease economic pain, it will also be added Japan’s ballooning public debt which is at twice the size of its own economy. Thus, causing the appeal of Yen to fall further. At the time of writing, USD/JPY rose 0.54% to 108.40 while dollar index climbs 0.14% to 99.37.
In the commodities market, crude oil price recovers 5.00% to $21.00 per barrel as of writing following Russia willingness to talk with U.S. According to Kremlin, Russia have agreed with U.S in a phone call recently to have their top energy officials discuss stabilizing oil markets. However, investors still remain cautious as the ongoing coronavirus continue to dent the demand outlook for the commodity. On the other hand, gold price fell 0.43% to $1614.66 a troy ounce at the time of writing amid increasing demand for the dollar.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
Time Market Event
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Today’s Highlight Economic Data
| Time | Nation & Data | Previous | Forecast | Actual |
| 14:00 | GBP – GDP (YoY)(Q4) | 1.1% | 1.1% | – |
| 15:55 | EUR – German Unemployment Change (Mar) | -10K | 29K | – |
| 17:00 | EUR – CPI (YoY)(Mar) | 1.2% | 0.8% | – |
| 20:30 | CAD – GDP (MoM)(Jan) | 0.3% | 0.1% | – |
| 22:00 | USD – CB Consumer Confidence (Mar) | 130.7 | 110.0 | – |
Technical Analysis
DOLLAR_INDX, H1: Dollar index was traded lower following prior retracement from the resistance level at 99.70. MACD which illustrated diminishing bullish momentum suggest the index to extend its losses toward support level at 98.95.
Resistance level: 99.70, 100.50
Support level: 98.95, 98.25
GBPUSD, H4: GBPUSD was traded lower while currently testing the support level at 1.2300. MACD which illustrated increasing bearish momentum suggest the pair to extend its losses after it successfully breakout below the support level.
Resistance level: 1.2505, 1.2730
Support level: 1.2300, 1.2125
EURUSD, Daily: EURUSD was traded lower while currently testing the support level at 1.1005. However, MACD which illustrated increasing bullish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 1.1090, 1.1150
Support level: 1.1005, 1.0900
USDJPY, H1: USDJPY was traded higher while currently testing the resistance level at 108.45. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 108.45,109.50
Support level: 107.75, 107.15
AUDUSD, H4: AUDUSD was traded higher while currently testing the resistance level at 0.6180. However, MACD which illustrated diminishing bullish momentum suggest the pair to be traded lower in short-term as technical correction.
Resistance level: 0.6180, 0.6290
Support level: 0.6005, 0.5865
NZDUSD, Daily: NZDUSD was traded lower following prior retracement from the resistance level at 0.6045. However, MACD which illustrated increasing bullish momentum suggest the pair to be traded higher in short-term as technical correction.
Resistance level: 0.6045, 0.6205
Support level: 0.5900, 0.5785
USDCAD, H4: USDCAD was traded higher while currently testing the resistance level at 1.4215. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains after it successfully breakout above the resistance level.
Resistance level: 1.4215, 1.4375
Support level: 1.4085, 1.3930
USDCHF, H4: USDCHF was traded higher following prior breakout above the previous support level at 0.9560. MACD which illustrated increasing bullish momentum suggest the pair to extend its gains toward resistance level at 0.9630.
Resistance level: 0.9630, 0.9720
Support level: 0.9560, 0.9495
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level at 19.95. MACD which illustrated diminishing bearish momentum suggest the commodity to extend its gains toward resistance level at 24.70.
Resistance level: 24.70, 30.65
Support level: 19.95, 15.75
GOLD_, H4: Gold price was traded within a range while currently near the support level at 1606.20. However, MACD which illustrated diminishing bearish momentum suggest the commodity to be traded higher in short-term as technical correction.
Resistance level: 1636.00, 1659.85
Support level: 1606.20, 1582.05