CHINA ECONOMIC DATA STUDENTS, POTENTIAL IN THE EFFECT OF SHORT-TERM MARKETS
China's economic data released this morning by pessimists such as the manufacturing index and service sector are likely to weigh on the Australian dollar amid markets looking forward to a return meeting between US representatives and China to discuss the trade issues scheduled today.
Furthermore the market focus will be on Eurozone GDP data and German inflation to measure the level of economic health in the region. After that in the US session, Consumer Confidence data from CB had the opportunity to be a catalyst for the movement of the US dollar ahead of the FOMC decision in the middle of this week.
Movement Potential
Gold
Gold prices have a chance to move down in the short term after the release of pessimistic Chinese economic data to test the support level at $ 1276 - $ 1271. However, gold prices have a chance to reverse in the midst of a weakening US dollar outlook ahead of the FOMC to test resistance at $ 1284 - $ 1289. Today's important data is US CB Consumer Confidence at 21:00 WIB.
Oil
Oil prices have the potential to weaken in the short term as pessimistic economic data from China, the world's second largest consumer, to test support at $ 63.20 - $ 62.70. But if the tightening sentiment behind supply of US sanctions against Iran and Venezuela and disruption of Libyan products dominates the market again, the price is likely to move up to test resistance at $ 64.00 - $ 64.50.
EURUSD
The sentiment of a weakening US dollar ahead of the FOMC decision is likely to be a positive catalyst for the movement of the EURUSD in the short term to test resistance at 1.1210 - 1.1260. However, the potential trend turned down if Euro zone GDP data released at 16:00 WIB and German inflation at 19:00 the result was lower than market expectations.
GBPUSD
Running "productive and constructive" cross-party talks in the UK to discuss Brexit has the opportunity to become a positive sentiment for the movement of GBPUSD to test resistance at 1.2960 - 1.3010. However, if the MPC member David Ramsden's speech at 14:40 WIB was filled with a pessimistic tone with the potential to burden GBPUSD to test the support at 1.2900 - 1.2850.
USDJPY
Strengthening risk appetite sentiment ahead of the FOMC decision in the middle of the week has the potential to be a positive catalyst for the USDJPY movement to test resistance at 112.00 - 112.50. Conversely, if it moves down, the support level is seen at 111.40 - 110.90.
AUDUSD
The pessimistic release of Chinese economic data will likely weigh on the AUDUSD movement in the short term to test the support at 0.7020 - 0.6980. However, if the market gets good developments in US-China negotiations, it is likely to support the AUDUSD rise to aim for resistance at 0.7080 - 0.7120.