Intraday Forex Analysis – 1 Hour Charts – March 31, 2017
AUDUSD – 1 Hour Chart
Price action has formed a new horizontal channel at 0.7590-0.7680 and the AUDUSD is ranging within the channel. Price is currently finding support around the longer-term moving average (as suggested in yesterday’s chart analysis). Trading opportunities could exist around the horizontal channel support and resistance areas and if the AUDUSD moves out of the channel (break-out trade). The moving averages confirm the current indecision – they are moving sideways.
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. The US Federal Reserve recently 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 currency pair.
EURGBP – 1 Hour Chart
As suggested in yesterday’s chart analysis, the EURGBP moved below the bullish channel support area and has since been bearish. The moving averages have crossed bearish and are widening, suggesting that price may downtrend. If the EURGBP starts retracing, selling opportunities could exist around any of the key Fib levels, around the previous horizontal support at 0.8610 and around the dynamic resistance of the moving averages.
Article 50 has been triggered – the UK has started negotiations on leaving the European Union. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. The ECB have announced that the economic future of the Eurozone is looking more stable. There are some concerns though that the UK leaving the EU may weaken the European economy and weaken the Euro. A UK Current Account figure will be released at 0930 UTC today.
EURUSD – 1 Hour Chart
The EURUSD moved below the tight horizontal channel support area at 1.0745 and has since been very bearish (as suggested in yesterday’s chart analysis). The moving averages are bearish and are widening, signalling that price may continue to downtrend. Shorting opportunities could exist around the bearish moving averages, around the previous horizontal support at 1.0745 and around any of the key Fib levels.
The US Federal Reserve recently 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. There are some concerns though that the UK leaving the EU may weaken the European economy and weaken the Euro. There is no major scheduled news today that will directly impact this currency pair.
GBPUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price moved above the range resistance at 1.2460 and then moved higher. The GBPUSD is now moving between a number of horizontal levels and is looking a little indecisive. The moving averages confirm this – they are moving sideways. Trading opportunities could exist around the identified horizontal levels and around the moving averages.
Article 50 has been triggered – the UK has started negotiations on leaving the European Union. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. The US Federal Reserve recently raised interest rates to 1.00%. The US Dollar may continue to strengthen long-term, as further rate hikes are expected. A UK Current Account figure will be released at 0930 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 moved lower. The moving averages are bearish and are steady, signalling that price may continue to be bearish. Opportunities to go short could exist around the horizontal levels at 0.6995 and 0.7040, around the previous symmetrical triangle support area (as resistance) and around the identified trend resistance area.
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 recently 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 currency pair.
USDCAD – 1 Hour Chart
Price moved below the horizontal channel support area at 1.3320 during yesterday’s trading sessions but the USDCAD has since reversed and re-entered the channel. Price is now ranging within a larger horizontal channel at 1.3275-1.3410. Trading opportunities could exist around the range support and resistance areas and if the USDCAD moves out of the range (break-out trade). The moving averages confirm the market indecision – they have been crossing frequently and have been moving sideways.
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 caused weakness to the Canadian Dollar. The US Federal Reserve recently raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. A Canadian GDP figure will be announced at 1330 UTC today.
USDCHF – 1 Hour Chart
The USDCHF continues to uptrend and be bullish. The moving averages are bullish and are widening, suggesting that the uptrend may continue. Opportunities to go long could exist around the dynamic support of the moving averages and around the previous horizontal resistance at 0.9980 and 0.9990.
The US Federal Reserve recently 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 currency pair.
USDJPY – 1 Hour Chart
As suggested in yesterday’s chart analysis, the USDJPY moved above the range resistance area and has since been bullish. Price action has formed a bullish channel and the moving averages are bullish and are widening, all signaling that price may start up-trending. Buying opportunities could exist around the previous range resistance at 111.50, around the bullish channel support area and around the dynamic support of the moving averages. The USDJPY may stall or reverse around the bullish channel resistance area.
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 recently 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 currency pair.
XAUUSD – 1 Hour Chart
GOLD moved below the tight horizontal channel support area at 1247.70 and has since been bearish (as suggested in yesterday’s chart analysis). Price is now at the wider horizontal channel support area at 1240.55. Trading opportunities could exist around the horizontal channel support and resistance areas and if GOLD moves out of the channel (break-out trade).
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