✆ +91 84528 08533 ✉︎ prashanti.forex@gmail.com 🌐 prashantiforex.in
Wednesday, 26 August 2020
HeadLines
- Dollar dogged by economic worries, yuan gains on trade deal relief
- Asian stocks set for cautious gains on Sino-U.S. trade hopes
- Oil hits five-month highs as U.S. producers cut output ahead of hurricane
Major Currency Rates at 8:45 AM
| Symbol | Bid | Ask |
| EUR/USD | 1.1816 | 1.1820 |
| USD/JPY | 106.48 | 106.50 |
| GBP/USD | 1.3131 | 1.3135 |
| USD/CHF | 0.9089 | 0.9090 |
| AUD/USD | 0.7189 | 0.7190 |
| NZD/USD | 0.6548 | 0.6550 |
| USD/INR | 74.20 | 74.21 |
| XAU/USD | 1,928.50 | 1,928.95 |
Currencies
The dollar nursed losses against most currencies on Wednesday as traders braced for U.S. data expected to show a slowdown in durable goods orders and a key speech by Federal Reserve Chairman Jerome Powell.
The yuan rose toward a seven-month high after U.S. and Chinese trade officials reaffirmed their commitment to a Phase 1 trade deal, which eased concerns about a diplomatic standoff between the world’s two-largest economies.The greenback took a hit after data on Tuesday showed U.S. consumer confidence tumbled to the lowest in more than six years due to concern about the coronavirus-induced job losses.
USD / INR TECHNICAL LEVELS BASED ON DAILY CHART
| Resistance 2 | 74.57 | ( 7 Day Moving Average ) |
| Resistance 1 | 74.31 | ( Bollinger Band ) |
| Current Level | 74.20 / 74.21 | |
| Support 1 | 74.00 | ( Big Figure ) |
| Support 2 | 73.70 | ( 50 Week Moving Average ) |
Yesterday Reserve Bank of India bought US Dollars near 74 levels and we expect them to protect the level so we advise importers to take advantage of this dip and book imports of next 15 days
Equity
Asian stock were set for a choppy session on Wednesday, following a mixed Wall Street lead as markets cheered signs of progress in U.S.-Sino trade negotiations but remained cautious about the broader economic outlook.
Australian S&P/ASX 200 futures were down 0.55%, while Japan’s Nikkei 225 futures were up 0.09%. Hong Kong’s Hang Seng index futures were up 0.1%. Emerging market stocks rose 0.59%.
| Symbol | Last | Change | Change% |
| Dow 30 | 28,248.40 | -60.02 | -0.21% |
| S&P 500 | 3,443.62 | 12.34 | 0.36% |
| Nasdaq 100 | 11,721.80 | 95.63 | 0.82% |
| FTSE 100 | 976.90 | -11.10 | -1.12% |
| SGX Nifty | 11,509.20 | 33.20 | 0.29% |
OIL
Crude oil prices rose to a five-month high on Tuesday as U.S. producers shut most offshore output in the Gulf of Mexico ahead of Hurricane Laura even as rising coronavirus cases in Asia and Europe capped gains.
Brent futures rose 73 cents, or 1.6%, to settle at $45.86 a barrel, while U.S. West Texas Intermediate (WTI) crude rose 73 cents, or 1.7%, to settle at $43.35.
MAJOR ECONOMIC EVENTS FOR Wednesday, 26 August 2020
| Time | Curr | Event | Forecast | Previous |
| 18:00 | USD | Core Durable Goods Orders (MoM) (Jul) | 2.0% | 3.6% |
| 18:00 | USD | Durable Goods Orders (MoM) (Jul) | 4.3% | 7.6% |
| 20:00 | USD | Crude Oil Inventories | -3.694M | -1.632M |
Disclaimer : All information in this report is collected from various sites on internet. The technical analysis is authors own views. We do not take any responsibility for any errors and omissions.
