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ATFX Market Update - 2019.11.08


Personal opinions today:
Yesterday, it reported that the United States intends to open international trade restrictions, investment climate improved. Dow futures closed at a record high after weekly jobless claims fell. With dow futures rose, the Nikkei and the dollar rose as followed, and the USDJPY broke through $109 to try 109.50. Crude oil was also supported as high as $57.80. The price of gold fell $22 as risk aversion cooled, leading silver lower.

Yesterday this analysis points to the Bank of England published the interest rate decision and held a press conference. The governor of the Bank of England, Carney, said that the delay in Brexit and the delay bearish the investment environment. In the face of the impact of Brexit, monetary policy needs to be adjusted. At the Bank of England press conference, the negative comments against the Pound and the Euro. Separately, the Euro, Swiss franc and sterling fell as U.S. jobless claims fell last week and Eurozone finance ministers focused on monetary policy and Brexit. Tonight, the US Michigan consumer confidence index for November. If the record above the forecast 96, then in line with the U.S. Dow futures rose. It could lead to a rise in the dollar, a fall in the yen, gold and silver prices. Crude oil is expected to test the $58 level.

[Important financial data and events]
Note: * is the degree of importance

10:00 China trade account **
10:50 China trade account in U.S. dollars ***
14:45 Swiss unemployment rate *
15:00 Germany trade account and current account ***
15:45 French industrial output and trade account **
23:00 U.S. Michigan consumer confidence index Pre ***

1.1085/1. 1095 resistance
1.1045/1.1035 support
Eurozone German industrial output fell in September, U.S. jobless claims fell last week, and the dollar rose. A meeting of Eurozone finance ministers, which affected the Euro, reached support range of 1.1045 and 1.1035 as expected in this analysis, and did not break through the resistance of 1.1085 and 1.1095. The Euro still has downside opportunities in anticipation of a lack of good news on Eurozone monetary policy, economic data and Brexit risk. But the euro's gains against the dollar were capped tonight by expectations that the US Michigan consumer confidence index rose.

British pound to dollar
1.2830/1.2840 resistance
1.2780/1.2770 support
British Parliament adjourned until after the December parliamentary elections. Yesterday, the Bank of England released the interest rate decision and monetary policy report, followed by Bank of England governor Carney held a press conference and speech, the pound fell. Also, there capped by expectations of an increase in US Michigan consumer confidence. Technically, the pound adjustment wave from 1.2970 to start, has broken through 1.2840. The next target will be either the 1.2780 or the 1.2770 support bit. Reference resistance 1.2840.

Australian dollar to US dollar
0.6905/0.6915 resistance
0.6875/0.6865 support
China and the United States should strengthen trade cooperation and improve the investment climate. Trade between China and Australia is expected to grow, with gains in Australian and New Zealand dollars. Change in the direction of the AUDUSD, if there is an opportunity to explore short-term support at 0.6865, watch the AUDUSD rebound. Technically, a break of 0.6935 resistance could strengthen the AUDUSD.

Dollar to Japanese yen
109.35/109.45 resistance
108.70/108.60 support
Dow futures rose, while the Nikkei and the dollar adjusted higher against the yen. Dow futures are expected to maintain their gains ahead of the US Michigan consumer confidence index. Technically, the USDJPY may test 109.45 resistance. Then the risk of the USDJPY must be noted. If Dow and Nikkei futures fall, the USDJPY could test 108 level again.

U.S. dollar to Canadian dollar
1.3190/1.3210 resistance
1.3155/1.3145 support
Dovish comments from the Bank of Canada last week capped the rise in the Canadian dollar. If the price of crude oil fell, indirectly bearish Canadian dollar. Technically, the USDCAD on 1.3190 resistance. The USDCAD is expected to test $1.3155 or $1.3145 on good news for oil demand around next week's international crude oil and energy report.

United States crude oil futures
57.75/58.00 resistance
56.25/56.05 support
U.S. crude oil futures could limit $58. Technically, attention to adjust to 56.25 and 56.05 dollars as short-term support. The market is now expecting an increase in U.S. Michigan consumer confidence in November. If crude oil prices rebound, reference resistance is $58. U.S. crude oil futures may then move lower. It may then test the initial target support level at $56.25.

1476/1478 resistance
1463/1460 support
Dow futures closed at a record high. Become the US and China trade agreements and plans for the sign next month. As expected by this analysis, the gold price decline widened. Technically, the critical resistance corrects to $1,478. If gold does not break through this resistance in the short term, it could still test $1,460 support. The market is now expecting the US Michigan in confidence index increasing. Gold prices were capped at 1478 resistance ahead of the scheduled release.

U.S. Dow Jones industrial average futures US30
27865/27940 resistance
27485/27420 support
The US and a China trade deal could be finalised by next month, boosting investment sentiment and pushing Dow futures past resistance. If the trade climate continues, Dow futures could test resistance levels at 27865 or 27940. Tonight, the market wait and see the Michigan consumer confidence index. Instead, the data was weak, investment sentiment going down and Dow futures will fall, test 27485 or 27420 support.

9280/ 9450 resistance
8959/ 8750 support
If Dow future and the global stock continue upward. Technically, it could bearish Bitcoin price. If break US8750 support, then look at US7885 support. Without any good news for any cryptocurrency or lousy news in the US economy, the bitcoin price could keep downward.

Enjoy trading! The content is for reference only. Please do ensure that you understand the risk.

Enjoy trading! The content is for reference only. Please do ensure that you understand the risk.

Information provided by AT Global Market, Chief Analyst of Asia Pacific: Martin Lam
Registered Australian Accountant/ Certified Professional Manager / Certified Financial Advisor Experienced Investor / Media Market Commentator Martin Lam has Over 17 years’ experience in global investment market. Familiar with the worldwide stock indices, precious metals such Gold and Silver, Crude oil and Forex. He operated Martin Currency Trading Company and had partnership with a number of well-known international financial corporations and institutions. Before he join ATFX, he was TeleTrade Greater China development and Sales Director. Mr. Lam attends Hong Kong Now TV and China CCTV finance channel once a week. He also had regularly invited by different media, such as DBC Digital Financial Channel, Hong Kong Economic Times, The Standard, Ming Pao to share his experience to trade in Forex, Precious metals, Crude oil and worldwide stock indices.

Legal: AT Global Markets Limited (ATGM, registration number 24226 IBC 2017). ATGM is an International Business Company in Saint Vincent and the Grenadines.

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