Intraday Forex Analysis – 1 Hour Charts – March 27, 2017


AUDUSD – 1 Hour Chart

AUDUSD - 27.03.2017

Price is ranging within a tight horizontal channel at 0.7610-0.7635. Trading opportunities could exist around the horizontal channel support and resistance areas and if the AUDUSD moves out of the range (break-out trade). The moving averages are bearish and are steady, suggesting that price may move lower. Shorting opportunities could exist around the dynamic resistance of the moving averages.

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. There is no major scheduled news today that will directly impact this pair.

EURGBP – 1 Hour Chart

EURGBP - 27.03.2017

As suggested in Friday’s chart analysis, the EURGBP reversed bearish around the bearish channel resistance area and continues to downtrend within the bearish channel. The moving averages are starting to tighten and are moving sideways, signalling that price may move above the bearish channel resistance area or may start ranging. Buying opportunities could exist around the moving averages and if the EURGBP moves above the bearish channel resistance.

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. German Business Climate data is set to be released at 0900 UTC today.

EURUSD – 1 Hour Chart

EURUSD - 27.03.2017

The EURUSD continues to uptrend and be bullish. Price action has formed a new bullish channel and price is moving within the channel. The moving averages are tight but bullish, signalling that buying momentum could be weakening. Long opportunities may exist around the previous swing high at 1.0815, around the bullish moving averages and around the bullish channel support area. The EURUSD may stall or reverse around the bullish channel 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. German Business Climate data is set to be released at 0900 UTC today.

GBPUSD – 1 Hour Chart

GBPUSD - 27.03.2017

Price continues to be bullish and uptrend. The bullish moving averages are tightening, suggesting that buying momentum may be weakening. Selling opportunities could exist around the previous trend support area and around the bullish channel resistance area. Buying opportunities could exist around the moving averages and around the bullish 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 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 no major scheduled news today that will directly impact this pair.

NZDUSD – 1 Hour Chart

NZDUSD - 27.03.2017

The NZDUSD is looking indecisive. The moving averages confirm this – they are tight and moving sideways. Price action has formed a symmetrical triangle consolidation pattern. Trading opportunities could exist around the consolidation support and resistance areas and if price moves out of the pattern (break-out trade). If the NZDUSD does break-out, price may stall or reverse around the identified horizontal levels at 0.6995 and 0.7080.

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. There is no major scheduled news today that will directly impact this pair.

USDCAD – 1 Hour Chart

USDCAD - 27.03.2017

Price 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). Other horizontal levels that could provide trading opportunities are at 1.3320 and 1.3380.

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. There is no major scheduled news today that will directly impact this pair.

USDCHF – 1 Hour Chart

USDCHF - 27.03.2017

The USDCHF is down-trending within a bearish channel. The moving averages are bearish and are steady, signalling that the downwards price action may continue. Selling opportunities could exist if price moves below the bearish channel support area, around the previous swing low at 0.9885, around the dynamic resistance of the moving averages and around the bearish channel resistance area.

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%. There is no major scheduled news today that will directly impact this pair.

USDJPY – 1 Hour Chart

USDJPY - 27.03.2017

As suggested in Friday’s chart analysis, price moved below the range support area and has since been bearish. The moving averages are bearish and are steady, signalling that price may continue to move lower. Shorting opportunities could exist around the previous range support area at 110.75 and around the dynamic resistance of 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. There is no major scheduled news today that will directly impact this pair.

XAUUSD – 1 Hour Chart

XAUUSD - 27.03.2017

As suggested in Friday’s chart analysis, GOLD found support around the longer-term moving average and has since been very bullish. Price is clearly up-trending and is moving higher. Opportunities to go long could exist around the previous swing high at 1253.00, around the bullish moving averages and around the previous swing low at 1242.20.