Intraday Forex Analysis – 1 Hour Charts – July 04, 2016

AUDUSD – 1 Hour Chart

The AUDUSD opened at the trend support line identified in Friday’s chart analysis and has moved higher. Price has closed above the horizontal resistance and psychological level at 0.7500. The moving averages have tightened slightly but continue to look bullish. There could be AUDUSD buying opportunities if price tests the previous resistance (now support) around 0.7500, around the bullish moving averages and around the trend support line (currently sitting at 0.7450).

Due to the UK leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the AUDUSD to move lower. There is no major scheduled news that will impact the AUDUSD in today’s trading sessions. There is a US public holiday today, this may cause markets to be quieter than usual.

EURGBP – 1 Hour Chart

As suggested in Friday’s chart analysis, the EURGBP closed above the horizontal resistance at 0.8365 and moved slight higher. The moving averages also crossed bullish and continue to widen, suggesting that price could continue it’s bullish run in today’s trading sessions. Buying opportunities could exist at the previous horizontal resistance (now support) around 0.8365 and at the trend support line (currently sitting at 0.8350).

Due to the UK leaving the EU, there has been a strong GBP sell-off. The Bank of England have suggested that a rate cut is likely to happen before the end of the year – this could give strength to the EURGBP and we may see this pair continue to move higher. UK Construction PMI is set to be released at 0830 UTC. If negative figures are released for the UK, we could see a strong Sterling sell-off – negative news could build confidence in the possibility of the UK entering recession.

EURUSD – 1 Hour Chart

Price was rejected at the channel resistance identified in Friday’s chart analysis and has moved lower. The bullish moving averages are beginning to tighten, suggesting that price may return to the channel trend support area – potentially creating a good buying opportunity. Price may also retrace and find dynamic support at the moving averages. If a long trade is entered, be aware of the horizontal resistance at 1.1150. This area may cause a bullish run to stall or reverse. There could also be a buying opportunity if price closes above that horizontal resistance and the area acts as support.

Due to the UK leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the EURUSD to move lower. There is no major scheduled news that will impact the EURUSD in today’s trading sessions. There is a US public holiday today, this may cause markets to be quieter than usual.

GBPUSD – 1 Hour Chart

As suggested in Friday’s chart analysis, the GBPUSD has continued to consolidate within the tightening symmetrical triangle price pattern. The moving averages are providing no clear direction but they are more bearish than bullish, suggesting that price could break to the downside of the consolidation. Buying opportunities could exist if price moves and closes above the consolidation pattern. Selling opportunities could exist if price moves and closes below the consolidation pattern.

Due to the UK leaving the EU, there has been a strong GBP sell-off. The Bank of England have suggested that a rate cut is likely to happen before the end of the year – this could provide greater selling momentum, moving the GBPUSD lower. UK Construction PMI is set to be released at 0830 UTC. If negative figures are released for the UK, we could see a strong Sterling sell-off – negative news could build confidence in the possibility of the UK entering recession.

NZDUSD – 1 Hour Chart

The NZDUSD continues to be bullish and is moving between tightening trend support and trend resistance areas. The bullish moving averages continue to widen, suggesting that price could continue to move higher. Buying opportunities could exist around the trend support line (currently sitting at 0.7160) and around the bullish moving averages

Due to the UK leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the NZDUSD to move lower. There is no major scheduled news that will impact the NZDUSD in today’s trading sessions. There is a US public holiday today, this may cause markets to be quieter than usual.

USDCAD – 1 Hour Chart

As suggested in Friday’s chart analysis, the USDCAD has continued to be bearish and moved lower during Friday’s trading sessions. The bearish moving averages are looking very steady, suggesting that the downside move could continue. Selling opportunities could exist around the trend resistance line (currently sitting at 1.2950) and around the bearish moving averages.

Due to the UK leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors are likely to carry on buying safe heaven assets like the Japanese Yen, the US Dollar and GOLD. This could help the USDCAD move higher over coming days and weeks. If the OIL markets appreciate though, we could see the CAD strengthen. This may cause a slightly hesitant and indecisive USDCAD. There is a US public holiday today, this may cause markets to be quieter than usual.

USDCHF – 1 Hour Chart

The USDCHF continues to look bearish – the bearish moving averages continue to widen, which confirms this. Selling opportunities could exist around the bearish moving averages and around the trend resistance line (currently sitting at 0.9770). If the USDCHF is very bearish in today’s trading sessions, price may find support at the potential channel support line (currently sitting at 0.9665).

Due to the UK leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the USDCHF to move higher. There is a US public holiday today, this may cause markets to be quieter than usual.

USDJPY – 1 Hour Chart

As predicted in Friday’s chart analysis, the USDJPY was bearish in Friday’s trading. From a technical view, there is very little to analyse on the USDJPY. If price is very bullish in today’s trading sessions, there could be a selling opportunity if price tests the previous horizontal support at 103.70.

Due to the UK leaving the EU, the JPY has strengthened. As economic uncertainty continues, traders and investors are likely to carry on buying safe heaven assets like the Japanese Yen, the US Dollar and GOLD. This could cause some hesitation and indecision on the USDJPY, as the USD and JPY is being bought. There is a US public holiday today, this may cause markets to be quieter than usual.

XAUUSD – 1 Hour Chart

Gold continues to be bullish and is currently attempting a swing higher. The moving averages are bullish and are widening, suggesting that the bullish run could continue. Buying opportunities could exist if price pulls back to the moving averages.

Due to the UK leaving the EU, the markets are very uncertain. As economic uncertainty continues, traders and investors are likely to carry on buying safe heaven assets like the Japanese Yen, the US Dollar and GOLD. This may help GOLD continue to move higher.

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