Intraday Forex Analysis – 1 Hour Charts – October 24, 2016


AUDUSD – 1 Hour Chart

audusd-24-10-2016

As suggested in Friday’s chart analysis, price found resistance around the 23.6% Fib level and reversed bearish. The moving averages have now crossed bearish and are widening, suggesting that price could move. Selling opportunities could exist around the dynamic resistance of the moving averages, around the horizontal resistance at 0.7640 and if price moves below the horizontal support at 0.7585. A bearish move may stall or reverse around the identified horizontal support levels.

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. There is no major scheduled news today that will directly impact this currency pair.

EURGBP – 1 Hour Chart

eurgbp-1h-ta

As suggested in Friday’s chart analysis, the EURGBP found resistance around the shorter-term moving average and around the previous horizontal support at 0.8915 and has moved lower. The moving averages continue to be bearish but they are beginning to tighten, suggesting that selling momentum is weakening. Selling opportunities could exist around the trend resistance area, around the previous horizontal resistance at 0.8915 and around the moving averages. As suggested, a bearish move may reverse during today’s trading sessions.

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. There is no major scheduled news today that will directly impact this currency pair.

EURUSD – 1 Hour Chart

eurusd-24-10-2016

The EURUSD continues to be bearish and move lower (as suggested in Friday’s chart analysis). The moving averages are still bearish and are widening, suggesting that price could move lower. Price is looking a little over-extended though, suggesting that price may retrace before attempting a move lower. Selling opportunities could exist around the dynamic resistance of the moving averages, around the trend resistance area and around the previous horizontal support at 1.0960.

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 today that will directly impact this currency pair.

GBPUSD – 1 Hour Chart

gbpusd-24-10-2016

As mentioned a number of times now, the GBPUSD is ranging. The moving averages confirm the lack of price direction – they are crossing frequently and are tight. Trading opportunities could exist around the range support and resistance and if price moves out of the range (break-out trade).

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. There is no major scheduled news today that will directly impact this currency pair.

NZDUSD – 1 Hour Chart

nzdusd-24-10-2016

Price has found support around the 61.8% Fib level and is currently attempting a bullish move. The moving averages have crossed bearish and are widening, suggesting that price could move lower. From a technical view, there are technical signals to suggest both bullish and bearish moves. Trading opportunities could exist around the 61.8% Fib level, around the moving averages and around the horizontal support and resistance levels identified on the above chart.

New Zealand’s economy 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. There is no major scheduled news that will directly impact this pair during today’s trading sessions.

USDCAD – 1 Hour Chart

usdcad-24-10-2016

The USDCAD has been very bullish and price has moved above the horizontal resistance levels around 1.3300. Price may now have some direction. The moving averages confirm this – they have crossed bullish and are widening. Buying opportunities could exist around the previous horizontal resistance levels (now support) at 1.3290 and 1.3305 and around the bullish moving averages.

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 positive and the recent appreciation in OIL has given added strength to the Canadian Dollar. The most recent Rate announcement and BOC press conference did not provide any suggestion that there will be a rate hike any time soon though. There is a Bank of Canada speech at 1930 UTC today.

USDCHF – 1 Hour Chart

usdchf-24-10-2016

Price was slightly bullish during Friday’s trading sessions but price seems to be moving tightly sideways. The moving averages are bullish though and are widening, suggesting that price could move higher. Buying opportunities could exist around the dynamic support of the moving averages, around any of the several identified horizontal support areas and if price moves above the range resistance at 0.9955.

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 a Swiss National Bank speech at 1615 UTC today.

USDJPY – 1 Hour Chart

usdjpy-24-10-2016

The USDJPY is consolidating between the horizontal support at 103.20 and the horizontal resistance at 104.60. The moving averages confirm the lack of market direction – they are crossing frequently and moving sideways. Trading opportunities could exist around the several horizontal support and resistance areas identified on the above chart, around the tightening support and resistance and if price breaks-out of the consolidation (including the symmetrical triangle).

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 today that will directly impact this currency pair.

XAUUSD – 1 Hour Chart

xauusd-24-10-2016

Price action has formed a bullish channel. The moving averages continue to cross frequently and move sideways though, suggesting a lack of market direction and indecision. Buying opportunities could exist around the bullish channel support area and if price moves above the channel resistance. A bullish move could also stall or reverse around the channel resistance area.