Intraday Forex Analysis – 1 Hour Charts – December 13, 2016


AUDUSD – 1 Hour Chart

audusd-13-12-2016

As suggested in yesterday’s chart analysis, price has reversed around the horizontal resistance at 0.7500 and is currently bearish. The AUDUSD continues to be choppy and indecisive. The moving averages confirm the lack of market direction – they are crossing frequently. Trading opportunities could exist around the identified horizontal support and resistance levels and around the moving averages. Buying opportunities could exist around the diagonal support area. If price moves above the horizontal resistance at 0.7500, the AUDUSD may attempt a bullish move.

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. The US Presidential Election result may be a game-changer for the Australian Dollar though. Fears over how a Trump led US will negatively impact the Australian economy are already showing. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. There is no major scheduled news today that will directly impact this pair.

EURGBP – 1 Hour Chart

eurgbp-13-12-2016

The EURGBP reversed around the shorter-term moving average (as suggested in yesterday’s chart analysis) and attempted a move lower. The moving averages are bearish and are widening but price action is looking a little indecisive. Selling opportunities could exist around the moving averages, around the trend resistance area and if price moves below the horizontal support at 0.8365.

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 Court law has put a current hold on triggering Article 50. The British government will now have to go through UK parliament to trigger Article 50. This has given strength to the GBP, as Brexit may now not be such a “hard” Brexit and there is the slightest chance that Article 50 may now never be triggered. UK CPI data is set to be released at 0930 UTC today.

EURUSD – 1 Hour Chart

eurusd-13-12-2016

Price was bullish during yesterday’s trading sessions, but overall the EURUSD has no clear direction. The moving averages confirm this – they are crossing frequently and are moving sideways. Trading opportunities could exist around the identified horizontal support and resistance levels and around the moving averages.

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. Most economists believe that a US rate hike could happen in December. A Trump led US may cause strength in the USD. There is no major scheduled news today that will directly impact this pair.

GBPUSD – 1 Hour Chart

gbpusd-13-12-2016

The GBPUSD moved above the horizontal channel resistance (identified in yesterday’s chart analysis) and has moved higher. Price action is forming a potential inverted head and shoulder pattern and the moving averages have crossed bullish – both suggesting that price may attempt a bullish move. Buying opportunities could exist around the moving averages and around the identified horizontal support levels. The GBPUSD could stall or reverse around the identified horizontal resistance levels.

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 Court law has put a current hold on triggering Article 50. The British government will now have to go through UK parliament to trigger Article 50. This has given strength to the GBP, as Brexit may now not be such a “hard” Brexit and there is the slightest chance that Article 50 may now never be triggered. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. UK CPI data is set to be released at 0930 UTC today.

NZDUSD – 1 Hour Chart

nzdusd-13-12-2016

Price has been bullish. The moving averages have crossed bearish though, signalling some market indecision. Trading opportunities could exist around the identified horizontal support and resistance levels and around the moving averages.

New Zealand’s economy continues to seem steady. As expected, the Reserve Bank of New Zealand have cut rates by 25 points, bring their official rate to 1.75%. 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. There is no major scheduled news today that will directly impact this pair.

USDCAD – 1 Hour Chart

usdcad-13-12-2016

Price action has formed a tight horizontal channel (1.3110-1.3140) and price is ranging. The moving averages are bearish and steady, suggesting that the downtrend could continue. Trading opportunities could exist around the range support and resistance areas and if price moves out of the range (break-out trade).

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. A Trump led US could provide some strength in the USD. Recent Canadian economic figures have been mixed. 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 no major scheduled news today that will directly impact this pair.

USDCHF – 1 Hour Chart

usdchf-13-12-2016

The USDCHF is still very choppy and indecisive. The moving averages confirm this – they are crossing frequently and providing no clear direction. Trading opportunities could exist around the identified horizontal support and resistance levels and around the 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. A Trump led US may cause weakness in the USD and possible strength to the CHF (safe-haven currency). There is no major scheduled news today that will directly impact this pair.

USDJPY – 1 Hour Chart

usdjpy-13-12-2016

Price was bearish during yesterday’s trading sessions and has retraced some of the recent bullish move. The moving averages are still bullish though and are widening, suggesting that price may attempt a move higher. Buying opportunities could exist around the dynamic support of the moving averages, around the horizontal resistance at 114.50-114.65 and around any of the key Fib levels.

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. Most economists believe that a US rate hike could happen in December. A Trump led US may cause weakness in the USD and possible strength to the JPY (safe-haven currency). There is no major scheduled news today that will directly impact this pair.

XAUUSD – 1 Hour Chart

xauusd-13-12-2016

As suggested in yesterday’s chart analysis, GOLD has reversed bearish around the shorter-term moving average and around the previous horizontal support area. The moving averages are bearish and are widening, 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 area.