Intraday Forex Analysis – 1 Hour Charts – August 16, 2016


AUDUSD – 1 Hour Chart

AUDUSD - 16.08.2016

As suggested in yesterday’s chart analysis, the AUDUSD was rejected around the dynamic resistance of the longer-term moving average and moved lower during yesterday’s trading sessions. The moving averages continue to be bearish and are widening, suggesting that the bearish move could continue. Selling opportunities could exist around the dynamic resistance of the moving averages and around the trend resistance area.

The Bank of Australia have decided to hold rates at the low of 1.50% – this as well as other poor economic data has contributed to some weakness in the Australian Dollar. As expected, the Fed hasn’t changed US rates but have kept them at the low rate 0.50% – this has contributed to some weakness in the US Dollar. US Building Permits and CPI data is set to be released at 1230 UTC today. New Zealand Employment and PPI Input date is set to be released at 2245 UTC, this event may cause some volatility on AUD pairs.

EURGBP – 1 Hour Chart

EURGBP - 16.08.2016

As suggested in yesterday’s trading analysis, the EURGBP continued it’s bullish move during yesterday’s trading sessions. The moving averages continue to look very bullish and are showing no signs of weakening, suggesting that the upwards could continue further. Price is starting to look over-extended though and is due a retracement. Buying opportunities could exist around the trend support area and around the dynamic support of the moving averages.

As expected, the Bank of England have cut rates and have also increased their QE program. This has provided weakness for the GBP. Most experts believe that the GBP will continue to weaken long-term. The future of the Euro is very unclear at this point. UK CPI data is set to be released at 0830 UTC today. German ZEW Economic Sentiment is set to be released at 0900 UTC.

EURUSD – 1 Hour Chart

EURUSD - 16.08.2016

As suggested in yesterday’s chart analysis, the EURUSD continued to move within the upwards consolidation pattern during yesterday’s trading sessions. Price is currently around a consolidation support area and could move higher in today’s trading sessions. The bullish moving averages have tightened though and are close to crossing bearish. Just like a lot of USD pairs, there is some indecision and a mix of technical signals.

The future of the Euro is very unclear (not uncertain, just indecisive). As expected, the Fed hasn’t changed US rates but have kept them at the low rate of 0.50% – this has contributed to some weakness in the US Dollar.  German ZEW Economic Sentiment is set to be released at 0900 UTC today. US Building Permits and CPI data is set to be released at 1230 UTC.

GBPUSD – 1 Hour Chart

GBPUSD - 16.08.2016

Price continued it’s bearish run during yesterday’s trading sessions, as suggested in yesterday’s chart analysis. The moving averages are still very bearish and are widening further, suggesting that the downtrend could continue. Selling opportunities could exist around the dynamic resistance of the moving averages and around the trend resistance area.

The Bank of England have cut rates as expected and have also increased their QE program. This has provided weakness for the GBP. Most experts believe that the GBP will continue to weaken long-term. UK CPI data is set to be released at 0830 UTC today. US Building Permits and CPI data is set to be released at 1230 UTC.

NZDUSD – 1 Hour Chart

NZDUSD - 16.08.2016

Price is currently consolidating and has formed a tightening consolidation pattern. The moving averages confirm the lack of price direction – they have crossed twice and are looking a little indecisive. Trading opportunities could exist as price breaks out of the consolidation.

Positive US Employment related data has given strength to the US Dollar. The economy of New Zealand continues to seem steady. As expected, the Reserve Bank of New Zealand have lowered the official rate to 2.00%. The NZD gained strength and continues to seem steady even with this potential weakening news. US Building Permits and CPI data is set to be released at 1230 UTC today. New Zealand Employment and PPI Input date is set to be released at 2245 UTC. This event is likely to cause a lot of volatility and movement in the market.

USDCAD – 1 Hour Chart

USDCAD - 16.08.2016

As suggested in yesterday’s chart analysis, the USDCAD found resistance around the trend resistance area and moved lower during yesterday’s trading sessions. The moving averages are bearish but are beginning to tighten and price is moving and closing above the trend resistance line – both suggesting that price could be bullish and retrace in today’s trading sessions. Short-term buying opportunities could exist as price moves higher in today’s trading sessions. Selling opportunities could exist around the dynamic resistance of the moving averages and around the previous horizontal support at 1.3000.

The Canadian Dollar continues to be weak as poor Canadian economic data is released. With a recent mix of positive and negative US economic data and with no clear direction on when the next US rate increase will be, the USD continues to be indecisive and a bit uncertain. US Building Permits and CPI data is set to be released at 1230 UTC today. Canadian Manufacturing Sales data is set to be released at the same time. These events will likely cause volatility on the USDCAD.

USDCHF – 1 Hour Chart

USDCHF - 16.08.2016

The USDCHF continues to look indecisive as suggested in yesterday’s chart analysis. Price is forming a potential tightening triangular consolidation pattern. Once price breaks-out of the consolidation, price may have some clear direction. The moving averages are bearish but are tightening. The overall trend is down.

With a recent mix of positive and negative US economic data and with no clear direction on when the next US rate increase will be, the USD continues to be indecisive and a bit uncertain. US Building Permits and CPI data is set to be released at 1230 UTC today.

USDJPY – 1 Hour Chart

USDJPY - 16.08.2016

The USDJPY is currently testing a clear horizontal support level at 100.90. The moving averages have crossed bearish and the support has been tested numerous times – all suggesting that price could move below the support and move lower in today’s trading sessions. Selling opportunities could exist if price closes below the horizontal support, around the horizontal support as resistance and around the dynamic resistance of the moving averages.

With a recent mix of positive and negative US economic data and with no clear direction on when the next US rate increase will be, the USD continues to be indecisive and a bit uncertain. The recent Japanese Monetary Policy Statement and announcement from the BOJ has provided some strength to the Yen – most experts were expecting a greater stimulus package. US Building Permits and CPI data is set to be released at 1230 UTC today.

XAUUSD – 1 Hour Chart

XAUUSD - 16.08.2016

As suggested in yesterday’s chart analysis, GOLD continues to consolidate and move between the diagonal support and diagonal resistance of the consolidation. The moving averages have crossed numerous times and are providing no clear direction. Trading opportunities could exist around the consolidation support and resistance and if price moves out of the consolidation.