Intraday Forex Analysis – 1 Hour Charts – January 09, 2017
AUDUSD – 1 Hour Chart
As suggested in Friday’s chart analysis, the AUDUSD found support around the 38.2% Fib level and is currently attempting a bullish move. The moving averages are bullish and steady, suggesting that price could move higher. Buying opportunities could exist around the longer-term moving average and if the AUDUSD moves above the horizontal resistance and previous swing high at 0.7350. Price may stall or reverse around the horizontal resistance.
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. There are concerns over how a Trump led US could negatively impact the Australian economy. The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. Australian Retail Sales data is set to be released at 0030 UTC.
EURGBP – 1 Hour Chart
Price has moved above the range resistance at 0.8600 and is currently rallying higher (as suggested in Friday’s chart analysis). The moving averages are bullish and are widening, suggesting that the uptrend could continue. Buying opportunities could exist around the previous horizontal resistance at 0.8600, around the trend support area and around the dynamic support of the moving averages.
The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. Most economists believe that sterling will continue to weaken long-term. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
EURUSD – 1 Hour Chart
The EURUSD continues to look choppy and lack direction. The moving averages confirm the current indecision – they are crossing frequently. Trading opportunities could exist around the identified horizontal support and resistance levels.
The future of the Euro is very unclear (not uncertain, just indecisive). Some economists are expecting a 1.0000 parity between the Euro and US Dollar. The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
GBPUSD – 1 Hour Chart
Price has been bearish and has moved much lower. The moving averages are tightening and becoming more bearish, suggesting that the downtrend could continue. Selling opportunities could exist around the previous horizontal support at 1.2225 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. The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
NZDUSD – 1 Hour Chart
The NZDUSD has been retracing some of the recent bullish move. The moving averages have crossed bullish but are currently moving sideways and tightening, suggesting that buying momentum is weakening. Selling opportunities could exist around the horizontal resistance at 0.7030 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. The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
USDCAD – 1 Hour Chart
As suggested in Friday’s chart analysis, price reversed bearish around the shorter-term moving average and moved lower. The USDCAD is now ranging and price action has formed a clear horizontal channel at 1.3195-1.3265. Trading opportunities could exist around the range support and resistance areas and if price moves out of the range (break-out trade). If the USDCAD breaks to the upside, price may stall or reverse around the longer-term moving average.
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. The appreciation of OIL has given some strength to the Canadian Dollar. The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
USDCHF – 1 Hour Chart
The USDCHF continues to look choppy and indecisive. The moving averages confirm the lack of market direction – they have crossed frequently and are moving sideways. The recent sell-off could signal that price may move lower. Selling opportunities could exist around the longer-term moving average and around the 50.0% and 61.8% Fib levels.
The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
USDJPY – 1 Hour Chart
Price continues to lack clear market direction. The moving averages confirm this – they are crossing frequently and signalling no market bias. Trading opportunities could exist around the identified horizontal levels and around the moving averages.
The Bank of Japan have kept interest rates at a low of -0.10%. The US Federal Reserve have increased interest rates to 0.75%. The US Dollar could continue to strengthen long-term, if further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
XAUUSD – 1 Hour Chart
GOLD has bounced off the 38.2% Fib level (as suggested in Friday’s chart analysis). The moving averages are bullish and steady, suggesting that price could attempt a move higher. Buying opportunities could exist around the moving averages and around any of the key Fib levels. GOLD may stall or reverse around the horizontal resistance at 1182.40.
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