Intraday Forex Analysis – 1 Hour Charts – March 16, 2017


AUDUSD – 1 Hour Chart

AUDUSD - 16.03.2017

As suggested in yesterday’s chart analysis, the AUDUSD moved above the horizontal channel resistance at 0.7585 and has since been very bullish. Price has moved above some key resistance levels and the moving averages are bullish, all suggesting that the AUDUSD may start up-trending. Opportunities to go long could exist around any of the key Fib levels, around the dynamic support of the moving averages and around the identified horizontal support levels at 0.7585 and 0.7620.

The Bank of Australia recently decided to hold rates at 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 raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC today.

EURGBP – 1 Hour Chart

EURGBP - 16.03.2017

The EURGBP continues to range within a horizontal channel at 0.8685-0.8785. The moving averages confirm the current indecision – they are tight and moving sideways.  Price action has formed a bearish channel as well as the horizontal channel. Opportunities to go short could exist around the bearish channel resistance area and if price moves back below the moving averages. Trading opportunities could exist around the horizontal channel support and resistance areas and if the EURGBP moves out of the horizontal channel (break-out trade).

The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. British Prime Minister Theresa May has provided Brexit negotiation details and has announced what deal the UK government would like as they leave the EU. The ECB have announced that the economic future of the Eurozone is looking more stable. There is a Bank of England rate announcement at 1200 UTC today.

EURUSD – 1 Hour Chart

EURUSD - 16.03.2017

As suggested in yesterday’s chart analysis, price has bullish and continues to uptrend. Price action has formed a bullish channel and the EURUSD is moving within the channel. The moving averages are bearish though, signalling that the bullish run could be coming to an end and that price may attempt a bearish move to the bullish channel support area. Buying opportunities could exist around any of the key Fib levels, around the moving averages and around the bullish channel support area.

The US Federal Reserve have raised interest rates to 1.00%. The US Dollar may continue to strengthen long-term, as further rate hikes are expected. The ECB have announced that the economic future of the Eurozone is looking more stable. This has given strength to the Euro. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC today.

GBPUSD – 1 Hour Chart

GBPUSD - 16.03.2017

Price moved above the horizontal channel resistance area and has since been bullish (as suggested in yesterday’s chart analysis). The moving averages are bullish and are starting to widen, suggesting that the GBPUSD could move higher. Buying opportunities may exist around the previous range resistance at 1.2245, around the trend support area, around the bullish moving averages and if price moves above the horizontal resistance at 1.2300. The GBPUSD may stall or reverse around the horizontal resistance at 1.2300.

The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. British Prime Minister Theresa May has provided Brexit negotiation details and announced what deal the UK government would like as they leave the EU. This has given strength to the GBP. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar may continue to strengthen long-term, as further rate hikes are expected. There is a Bank of England Rate announcement at 1200 UTC today. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC.

NZDUSD – 1 Hour Chart

NZDUSD - 16.03.2017

As suggested in yesterday’s chart analysis, the NZDUSD moved above the range resistance area and has since been bullish. The moving averages are bullish and are widening, signalling that price could continue to be move higher. Long opportunities could exist around the bullish moving averages and around the previous horizontal channel resistance area at 0.6950.

New Zealand’s economy continues to seem steady. The Reserve Bank of New Zealand recently kept rates at 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 raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC today.

USDCAD – 1 Hour Chart

USDCAD - 16.03.2017

As suggested in yesterday’s chart analysis, price moved below the symmetrical triangle support area and has since moved much lower. The USDCAD has now formed a series of lower swing lows and lower swing highs, suggesting that price is down-trending. The moving averages are bearish and are widening, suggesting that price could continue to move lower. Selling opportunities could exist around the dynamic resistance of the moving averages, around the previous swing low at 1.3425 and around the trend resistance area.

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. The recent depreciation of OIL has given some weakness to the Canadian Dollar. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC today.

USDCHF – 1 Hour Chart

USDCHF - 16.03.2017

Price moved below the horizontal support at 1.0065 and has since been very bearish (as suggested in yesterday’s chart analysis). The USDCHF may now start down-trending. Shorting opportunities could exist around the bearish moving averages and around the other identified resistance areas.

The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. There is a Swiss National Bank Rate announcement at 0830 UTC today. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC.

USDJPY – 1 Hour Chart

USDJPY - 16.03.2017

As suggested in yesterday’s chart analysis, the USDJPY moved below the support areas of the identified channels and has since been very bearish. The moving averages are bearish and are widening, suggesting that price could move lower. Selling opportunities could exist around the horizontal levels at 113.65 and 114.50 and around the moving averages.

The Bank of Japan have kept interest rates at a low of -0.10%. The Yen may see added strength if political uncertainty in the US returns. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US Building Permits and Manufacturing and Unemployment data will be released at 1230 UTC today.

XAUUSD – 1 Hour Chart

XAUUSD - 16.03.2017

GOLD moved above the range resistance at 1211.15 and has since been bullish (as suggested in yesterday’s chart analysis). Just like other USD pairs, price may now start trending. Opportunities to go long could exist around the previous horizontal resistance at 1211.15 and around the moving averages.