31 December 2018 Afternoon Session Analysis
Dollar skyrocketed amid trade war eased.
Dollar index surged against a basket of its major peer currencies during Asian trading session amid progress on Sino-U.S trade standoff generated bullish momentum toward the Dollar market. Sentiment of market participants toward the Greenback has been cheered up by U.S. President Donald Trump as he mentioned he held a ‘very good call’ with China Premier Xi Jinping on Saturday to discuss trade and emphasized that a “big step” was being made. According to China media, reporting that Xi Jinping hoped both countries can reach an agreement that mutually beneficial. Moreover, White house was exerting pressure on China for more details of how it might benefited US exports and loosen the regulations that suppress US firms, reported by Wall Street Journal. US government representative team would travel to Beijing in the week of Jan 7 to have face to face meeting with Chinese negotiating team since both country’s supreme leader agreed to a 90 days truce during G20 meeting in Argentina. As of now, Dollar index rose 0.07% to 96.00 while the pair of AUD/USD inched up 0.31% to 0.7060.
In the commodities market, crude oil price up 1.67% to $45.80 per barrel, mirroring gains in stocks markets but were on track for the first yearly decline amid persistent oversupply issues unsolved, ahead of 1 Jan oil production cut’s plan. Besides, gold price inched down 0.18% to $1278.20 a troy ounce amid Dollar recovered part of its losses before New Year Holiday.
Today’s Holiday Market Close
Time Market Event
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Today’s Highlight Events
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Today’s Highlight Economic Data
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Technical Analysis
DOLLAR_INDX, H4: Dollar index was traded higher while currently testing near the resistance level at 96.00. MACD which illustrate diminishing bearish momentum suggest dollar to extend its gains after successfully breakout above the resistance level at 96.00.
Resistance level: 96.00, 96.30
Support level: 95.70, 95.25
GBPUSD, H4: GBPUSD was traded lower in a sideway channel following prior retracement from the resistance level at 1.2715. MACD which display diminishing bullish signal suggest the pair to extend its losses toward the support level at 1.2615.
Resistance level: 1.2715, 1.2785
Support level: 1.2615, 1.2550
EURUSD, H4: EURUSD was traded lower while currently testing the support level 1.1430. MACD which illustrate diminishing bullish momentum suggest the pair to extend its losses after the candle closure below the support level at 1.1430.
Resistance level: 1.1475, 1.1540
Support level: 1.1430, 1.1385
USDJPY, H4: USDJPY was traded higher following prior rebound from the support level 110.25. MACD which illustrate bullish momentum suggest the pair to extend its rebound towards the resistance level at 110.65.
Resistance level: 110.65, 110.95
Support level: 110.25, 109.95
AUDUSD, H4: AUDUSD was traded higher following prior rebound from the support level 0.7030. MACD which display bullish bias suggest the pair to extend its gains towards the resistance level at 0.7065.
Resistance level: 0.7065, 0.7115
Support level: 0.7030, 0.6985
NZDUSD, H4: NZDUSD was traded higher following prior rebound from the support level 0.6695. MACD which illustrate ongoing bullish momentum suggest the pair to extend its rebound towards the resistance level 0.6740.
Resistance level: 0.6740, 0.6785
Support level: 0.6695, 0.6630
USDCAD, H4: USDCAD was traded lower following prior retracement from the resistance level at 1.3650. MACD which display bearish signal suggest the pair to extend its losses toward the support level at 1.3600.
Resistance level: 1.3650, 1.3680
Support level: 1.3600, 1.3565
USDCHF, H4: USDCHF was traded higher while currently testing near the resistance level at 0.5855. MACD which display diminishing bearish momentum suggest the pair to extend its rebound after successfully breakout above the resistance level at 0.9855.
Resistance level: 0.9855, 0.9905
Support level: 0.9810, 0.9755
CrudeOIL, H4: Crude oil price was traded higher following prior rebound from the support level 45.80. MACD which display bullish signal suggest the commodity to extend its gains towards the resistance level at 47.00.
Resistance level: 47.00, 48.35
Support level: 44.85, 43.70
GOLD_, H1: Gold price was traded higher following prior rebound from the support level at 1277.10. MACD which illustrate diminishing bearish momentum suggest gold to extend its gains toward the resistance level at 1283.55.
Resistance level: 1283.55, 1290.95
Support level: 1277.10, 1272.65
Highlighted economy data and events for the week: December 31 – January 4
| Monday, December 31 |
Data CNY – Manufacturing PMI (Dec)
Events N/A
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| Tuesday, December 1 |
Data N/A
Events N/A
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| Wednesday, December 2 |
Data CNY – Caixin Manufacturing PMI (Dec) EUR – German Manufacturing PMI (Dec) GBP – Manufacturing PMI (Dec)
Events N/A
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| Thursday, December 3 |
Data GBP – Construction PMI (Dec) USD – ADP Nonfarm Employment Change (Dec) USD – Initial Jobless Claims USD – ISM Manufacturing PMI (Dec) USD – New Home Sales
Events N/A
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Friday, December 4
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Data EUR – German Unemployment Change (Dec) GBP – Service PMI (Dec) EUR – CPI (YoY) (Nov) USD – Nonfarm Payrolls (Dec) USD – Unemployment Rate (Dec) CAD – Employment Change (Dec)
Events USD – Fed Chair Powell Speaks
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