Intraday Forex Analysis – 1 Hour Charts – March 24, 2017
AUDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, the AUDUSD has been bearish and has moved lower. The moving averages are still bearish and are still widening, signalling that price could attempt to move lower. Opportunities to go short could exist around the consolidation resistance area, around the dynamic resistance of the moving averages and if the AUDUSD moves below the consolidation support. A long opportunity may exist if price moves above the consolidation resistance area.
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 Core Durable Goods data will be released at 1230 UTC today.
EURGBP – 1 Hour Chart
As suggested in yesterday’s chart analysis, price has been very bearish and has moved much lower. The EURGBP continues to move within the bearish channel and downtrend. The moving averages are bearish and are widening, suggesting that the downtrend may continue. Selling opportunities could exist around the bearish moving averages, around the previous horizontal support at 0.8650 and around the bearish channel resistance area. Price could stall or reverse around the bearish channel support area.
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. Macron emerged as the most convincing during the recent French political debate. Overall, things are looking more positive for the Eurozone. This could continue to provide added strength. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
EURUSD – 1 Hour Chart
The EURUSD moved below the horizontal channel support area and has since been headed towards the bullish channel support area (as suggested in yesterday’s chart analysis). Price continues to uptrend within the bullish channel. The bullish moving averages are tightening and becoming more bearish, signalling that the EURUSD may attempt a move to the bearish channel support area. Buying opportunities could exist around the bullish channel support area. Selling opportunities could exist around the moving averages and around the identified diagonal resistance 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. Macron emerged as the most convincing during the recent French political debate. This has given strength to the Euro. Overall, things are looking more positive for the Eurozone. This could continue to provide added strength. US Core Durable Goods data will be released at 1230 UTC today.
GBPUSD – 1 Hour Chart
Price continues to uptrend and is currently retracing some of the recent bullish move. The bullish moving averages are tightening and the GBPUSD has moved below the trend support area, all suggesting that the bearish retracement may continue. Shorting opportunities could exist around the previous trend support area (as resistance). Price may range between the horizontal levels at 1.2435-1.2525. Trading opportunities could exist around the range support and resistance areas and if the GBPUSD 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. 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. US Core Durable Goods data will be released at 1230 UTC today.
NZDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, the NZDUSD moved below the symmetrical triangle support area and has since been bearish. Price continues to look choppy and a little indecisive. The moving averages have crossed bearish and are widening, suggesting that the downside momentum could continue. Selling opportunities may exist around the dynamic resistance of the moving averages and around the previous consolidation support and resistance areas.
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 Core Durable Goods data will be released at 1230 UTC today.
USDCAD – 1 Hour Chart
The USDCAD continues to be indecisive and range between 1.3280-1.3400. The moving averages confirm this – they are tight and moving sideways. Trading opportunities may exist around the range support and resistance areas and if price moves out of the range (break-out trade).
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 Core Durable Goods data will be released at 1230 UTC today. A Canadian CPI figure will be announced at the same time.
USDCHF – 1 Hour Chart
Price has been down-trending and is currently retracing some of the recent bearish swing. The moving averages are tightening and moving sideways, signalling that bearish momentum is weakening and that the USDCHF could either move lower or range within a horizontal channel at 0.9885-0.9990. Trading opportunities could exist around the range support and resistance areas and if price moves out of the range (break-out trade).
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. The Swiss National Bank have kept rates at -0.75%. US Core Durable Goods data will be released at 1230 UTC today.
USDJPY – 1 Hour Chart
The USDJPY is consolidating within a tight horizontal channel at 110.75-111.50 and within a symmetrical triangle pattern. Trading opportunities may exist around the horizontal channel and symmetrical triangle support and resistance areas and if price moves out of either of the patterns (break-out trade). The moving averages are bearish and are steady, signalling that the USDJPY may move lower.
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 Core Durable Goods data will be released at 1230 UTC today.
XAUUSD – 1 Hour Chart
GOLD is clearly up-trending and is currently retracing some of the recent bullish swing. The bullish moving averages are tightening and are moving sideways, suggesting that the bearish retracement may continue. Long opportunities could exist around the longer-term moving average and around the previous swing high at 1235.25. Shorting opportunities may exist around the horizontal resistance at 1253.00 and around the previous trend support area.
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