Intraday Forex Analysis – 1 Hour Charts – September 20, 2016


AUDUSD – 1 Hour Chart

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The AUDUSD was bullish during yesterday’s trading sessions. The moving averages continue to be bullish and are showing little sign of weakening, suggesting that price could continue it’s upwards direction. If price retraces some of the recent bullish move before attempting a move higher, buying opportunities could exist around the dynamic support of the moving averages and around the trend support area. A bullish move could stall or reverse around the trend resistance area.

The Bank of Australia have again decided to hold rates at the low of 1.50%.The Australian Dollar continues to be attractive to currency investors due to the yield on carry trades. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing, shedding some doubt on a rate hike being sooner rather than later. US Building Permits data is set to be released at 1230 UTC today.

EURGBP – 1 Hour Chart

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Price is struggling to move above the horizontal resistance at 0.8580. The moving averages are bullish though and they are widening – suggesting that price could move above the horizontal resistance during today’s trading sessions. If price pulls back before attempting a move higher, buying opportunities could exist around the dynamic support of the moving averages and around the trend support area. A buying opportunity could also exist as price moves above the horizontal resistance area.

Very strong UK CPI data has cleared some doubt about the future of the British economy. Though leaving the EU looms, the GBP has been gaining back some ground but most experts believe that the GBP will continue to weaken long-term. There is no major scheduled news today that will directly impact this pair.

EURUSD – 1 Hour Chart

eurusd-20-09-2016

As suggested in yesterday’s chart analysis, the EURUSD was rejected around the shorter-term moving average and moved slightly lower during yesterday’s trading sessions. The bearish moving averages continue to widen, suggesting that price could continue to move lower. If price is bullish before attempting a swing lower, selling opportunities could exist at either of the moving averages, around the previous horizontal support (now resistance) at 1.1200 and around the trend resistance area.

The future of the Euro is very unclear (not uncertain, just indecisive). US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing, shedding some doubt on a rate hike being sooner rather than later. US Building Permits data is set to be released at 1230 UTC today.

GBPUSD – 1 Hour Chart

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The GBPUSD retraced some of the recent bearish move during yesterday’s trading sessions. The bearish moving averages continue to widen, suggesting that price could attempt a move lower. Selling opportunities could exist around the dynamic resistance of the moving averages and around the trend resistance areas.

Most experts still believe that the GBP will continue to weaken long-term though. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing, shedding some doubt on a rate hike being sooner rather than later. US Building Permits data is set to be released at 1230 UTC today.

NZDUSD – 1 Hour Chart

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As suggested in yesterday’s chart analysis, the NZDUSD initially found resistance around the consolidation resistance area and then moved above the consolidation pattern. The moving averages are providing no clear direction though and they may cross again during today’s trading sessions. Trading opportunities could exist around the moving averages and around the identified support areas on the above chart.

The economy of New Zealand continues to seem steady. As expected, the Reserve Bank of New Zealand lowered the official rate to 2.00%. The NZD gained strength and continues to seem steady even with this potential weakening rate news. The New Zealand Dollar continues to be attractive to currency investors due to the yield on carry trades. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing, shedding some doubt on a rate hike being sooner rather than later. US Building Permits data is set to be released at 1230 UTC today. A New Zealand GDT Price Index figure is set to be released sometime this afternoon (UTC).

USDCAD – 1 Hour Chart

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As suggested in yesterday’s chart analysis, the USDCAD has become indecisive and is lacking momentum. The moving averages confirm this, they are crossing frequently and lacking direction. Trading opportunities could exist around the identified support and resistance areas on the above chart. If price moves below the horizontal support at 1.3135, price could start trending lower.

US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing. US Building Permits data is set to be released at 1230 UTC today. The Governor of the Bank of Canada is set to speak at 1650 UTC.

USDCHF – 1 Hour Chart

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The USDCHF found resistance around the horizontal resistance at 0.9810 during yesterday’s trading sessions. The moving averages are widening strongly bullish, suggesting that price could move above the horizontal resistance area during today’s trading sessions. If price pulls back before attempting a move higher, buying opportunities could exist around the dynamic support of the moving averages and around the horizontal support (previously resistance) at 0.9780. A buying opportunity could also exist as price moves above the horizontal resistance at 0.9810.

US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing, shedding some doubt on a rate hike being sooner rather than later. US Building Permits data is set to be released at 1230 UTC today.

USDJPY – 1 Hour Chart

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The USDJPY continues to be choppy and lack clear price direction. The moving averages are bearish and are widening, suggesting that price could move lower during today’s trading sessions. Selling opportunities could exist around the newly formed trend resistance area, around the dynamic resistance of the moving averages and if price closes below the horizontal support area at 101.40-101.50. A bearish move may stall or reverse around the horizontal support area.

The most recent Japanese Monetary Policy Statement and announcement from the BOJ has provided some strength to the Yen – most experts were expecting a much greater stimulus package. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing, shedding some doubt on a rate hike being sooner rather than later. US Building Permits data is set to be released at 1230 UTC today. There is a Bank of Japan Press Conference tomorrow morning (UTC). This event will likely cause movement in JPY pairs and shed some light on the future of the Japanese economy.

XAUUSD – 1 Hour Chart

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As suggested in yesterday’s chart analysis, price found resistance around the trend resistance area and moved slightly lower during yesterday’s trading sessions. The moving averages are moving sideways, suggesting that price is now lacking direction. Trading opportunities could exist around the support and resistance areas identified on the above chart and around the moving averages.