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

AUDUSD – 1 Hour Chart

The AUDUSD was slightly bullish during yesterday’s trading sessions. The moving averages are moving sideways and could cross again, suggesting that there is indecision and a lack of price direction. From a technical view, there are very few areas that could provide potential trading opportunities. A bearish move could stall or reverse around the horizontal support at 0.7600.

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 and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. Australian Retail Sales data is set to be released at 0030 UTC today.

EURGBP – 1 Hour Chart

As suggested in yesterday’s chart analysis, price moved much higher and was bullish during yesterday’s trading sessions. The moving averages are bullish and are showing little sign of weakening, suggesting that price could move higher. Buying opportunities could exist around the dynamic support of the moving averages, around the horizontal resistance (now support) at 0.8655 and around the diagonal support area.

The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. This has caused a sterling sell-off as the 2 year of negotiations for leaving the EU nears. Most economists believe that sterling will continue to weaken long-term. UK Construction PMI data is set to be released at 0830 UTC today.

EURUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the EURUSD reversed bearish around the horizontal resistance and moved lower during yesterday’s trading sessions. As mentioned several times, price is looking very choppy and lacking direction. The moving averages confirm this – they are crossing frequently and moving sideways. Trading opportunities could exist around the support and resistance areas identified on the above chart.

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 and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. There is no major scheduled news that will directly impact this pair during today’s trading sessions.

GBPUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price closed below the horizontal support at 1.2915 and was bearish during yesterday’s trading sessions. The moving averages are bearish and are widening, suggesting that price could move lower. Selling opportunities could exist around the horizontal support (now resistance) at 1.2915 and around the dynamic resistance of the moving averages.

The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. This has caused a sterling sell-off as the 2 year of negotiations for leaving the EU nears. Most economists believe that sterling will continue to weaken long-term. 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 and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. UK Construction data is set to be released at 0830 UTC today.

NZDUSD – 1 Hour Chart

The NZDUSD continues to look choppy and lack price direction. The moving averages confirm this – they are moving sideways and crossing frequently. Trading opportunities could exist around any of the support and resistance areas identified on the above chart.

The economy of New Zealand continues to seem steady. As expected, the Reserve Bank of New Zealand have held rates at 2.00%. The NZD continues to seem steady and is one of the stronger currencies. 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 and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. There is no major scheduled news that will directly impact this pair during today’s trading sessions.

USDCAD – 1 Hour Chart

As identified in yesterday’s chart analysis, price found support around the diagonal support area and moved higher during yesterday’s trading sessions. Overall though, price continues to be very choppy and lack price direction. The moving averages confirm this – they are moving sideways and crossing frequently. Trading opportunities could exist around the identified support and resistance areas on the above chart.

US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Most economists believe that a US rate hike could happen in December. Recent Canadian economic figures have been very poor but the recent appreciation in OIL has given some strength to the Canadian Dollar. There is no major scheduled news that will directly impact this pair during today’s trading sessions.

USDCHF – 1 Hour Chart

Just like many USD pairs, the USDCHF is looking very choppy and is lacking price direction. The moving averages confirm this – they are crossing frequently and providing no clear direction. Trading opportunities could exist around the support and resistance areas identified on the above chart and around the dynamic support of the moving averages.

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 and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. There is no major scheduled news that will directly impact this pair during today’s trading sessions.

USDJPY – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found support around the dynamic support of the shorter-term moving average and was bullish during yesterday’s trading sessions. The moving averages are bullish and are no longer weakening, suggesting that price could move higher. Buying opportunities could exist around the trend support areas, around the dynamic support of the bullish moving averages, around the horizontal support (previously resistance) at 101.75 and if price moves above the horizontal resistance at 102.60. A bullish move may stall or reverse around the horizontal resistance at 102.60.

The Bank of Japan have announced a slight hike in their rate, from -0.20% to -0.10%. 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 and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. There is no major scheduled news that will directly impact this pair during today’s trading sessions.

XAUUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found resistance around the horizontal support turned resistance at 1317.70 and was bearish during yesterday’s trading sessions. The moving averages continue to be bearish, suggesting that price could move lower. Selling opportunities could exist around the many horizontal resistance levels, around the dynamic resistance of the moving averages and around the long-term trend resistance area.

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