20/04/2023 Market and News update

Crude Oil Inventories Rise in US, Yet Oil Prices Remain Unchanged - What's Holding Them Back?

The US announced its Crude Oil Inventories at 12:30 am (GMT +10:00), revealing a value of -4.6M, significantly lower than the forecasted -0.4M and the previous 0.6M. Despite this positive news for USOUSD, it struggles to surpass the resistance line at 83.45, instead hovering near the support line at 78.56. If the support line is breached, prices may retreat to the new resistance and support zones.

The updated resistance line is estimated at 81.01, with the support line at 75.70. While the current USOUSD price movement remains unclear, these support and resistance levels provide valuable insight into potential trends.

New Zealand's Surprising Quarterly CPI Announcement: How Did NZD React?

The NZD has been weakening against the USD, displaying a consistent downward trend leading up to the quarterly CPI announcement.

A similar trend is evident with NZD against AUD, as it steadily declines before the quarterly CPI reveal.

What was the CPI value?

• The previous quarter's CPI was 1.4%, with experts predicting 1.5% for the new CPI.
• However, the actual figure came in at 1.2%, significantly lower than both forecasts and prior values.

On the day before the announcement, NZDUSD experienced an upward price movement, only to drop sharply upon the CPI release, hitting a new low.

The same pattern occurred with NZDAUD, where the price climbed before plummeting after the CPI was announced.

What does this mean?

It's possible that the 1.5% forecast contributed to the short-term price increase leading up to the announcement, but the actual 1.2% value fell short of expectations.

What to expect for the upcoming events?

• The US is set to announce its unemployment claims on 20/04/2023 at 10:30 pm (GMT +10:00).
• Currently, the forecast is 240K, a 1K increase from the previous 239K.
• Keep an eye on XAUUSD and AUDUSD, as the USD could be significantly impacted by this economic data.
• A lower-than-expected actual value may lead to a decline in XAUUSD and AUDUSD, while a higher-than-expected value could result in a rise.
• However, XAUUSD and AUDUSD prices remain highly volatile, so any increase leading up to the announcement date is subject to change.#CrudeOil##forextrading##ForexCFDs#