Intraday Forex Analysis – 1 Hour Charts – January 12, 2017


AUDUSD – 1 Hour Chart

AUDUSD - 12.01.2017

As suggested in yesterday’s chart analysis, price found support around the shorter-term moving average and trend support area and has since been bullish. The moving averages are bullish and are widening, suggesting that the uptrend could continue. The AUDUSD is looking a little over-extended though, suggesting that price may soon start retracing. Buying opportunities could exist around key Fib levels, around the moving averages and around the trend support line.

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. 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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

EURGBP – 1 Hour Chart

EURGBP - 12.01.2017

The EURGBP found support around the 38.2% Fib level and longer-term moving average (as suggested in yesterday’s chart analysis) but price is now moving sideways. Price action has formed a horizontal channel at 0.8655-0.8695 and the EURUSD is ranging within the channel. Trading opportunities could exist around the range support and resistance and if price moves out of the range (break-out trade). Trading opportunities could also exist around the moving averages and the key Fib levels.

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

EURUSD - 12.01.2017

Price continues to look choppy. The moving averages confirm the lack of market direction – they are tight and moving sideways. The EURUSD has closed above the recent choppy price action though, suggesting that price could continue to move higher. Buying opportunities could exist around the previous horizontal resistance at 1.0615 and around the moving averages.

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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

GBPUSD – 1 Hour Chart

GBPUSD - 12.01.2017

The GBPUSD has been bullish and is currently moving higher. Price action is looking a little indecisive though. The moving averages confirm this – they have been crossing frequently and are providing no clear direction. Trading opportunities could exist around the identified horizontal levels and around 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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

NZDUSD – 1 Hour Chart

NZDUSD - 12.01.2017

As suggested in yesterday’s chart analysis, price moved above the horizontal resistance at 0.7040 and has since been rallying. The NZDUSD is now looking bullish and clearly up-trending. Buying opportunities could exist around the previous horizontal resistance and around the dynamic support of the moving averages. The moving averages are bullish and are widening, suggesting that price could move higher.

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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

USDCAD – 1 Hour Chart

USDCAD - 12.01.2017

The USDCAD was rejected at the horizontal channel resistance and then moved below the channel support area. Price has since been bearish. This was suggested in yesterday’s chart analysis. The moving averages are bearish and are starting to widen, suggesting that the downtrend could continue. If price pulls-back before attempting a move lower, selling opportunities could exist around the previous range support at 1.3195, around the dynamic resistance of the moving averages and around the trend resistance line.

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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

USDCHF – 1 Hour Chart

USDCHF - 12.01.2017

As suggested in yesterday’s chart analysis, price moved above the symmetrical triangle and was bullish. The USDCHF has since reversed strongly bearish though and is currently testing the horizontal support at 1.0095. Price is looking choppy and indecisive. The moving averages confirm this – they are tight, moving sideways and have been crossing frequently. Trading opportunities could exist around the identified horizontal levels and around the moving averages. If price moves below the horizontal support at 1.0095, the USDCHF may attempt a bearish move.

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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

USDJPY – 1 Hour Chart

USDJPY - 12.01.2017

As suggested in yesterday’s chart analysis, the USDJPY moved below the horizontal support at 115.30 and has since moved much lower. The moving averages are bearish and are widening, suggesting that price could move lower. Selling opportunities could exist around the previous horizontal support at 115.30, around the dynamic resistance of the moving averages and around the trend resistance line.

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. The President Elect’s latest speech provided no fiscal or economic stimulus details, causing the US Dollar to weaken. US Unemployment Claims data is set to be released at 1330 UTC today.

XAUUSD – 1 Hour Chart

XAUUSD - 12.01.2017

The moving averages are bullish and are widening but GOLD is looking over-extended, suggesting that price may soon start retracing. If GOLD is bearish and retraces, buying opportunities could exist around the bullish moving averages, around key Fib levels, around the potential horizontal support at 1190.20 and around the trend support line.