Intraday Forex Analysis – 1 Hour Charts – April 06, 2017
AUDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, the AUDUSD reversed bearish around the previous horizontal support at 0.7590 and has since moved to the bearish channel support area. The moving averages continue to be bearish and are steady, suggesting that price may continue to downtrend. Shorting opportunities could exist around the dynamic resistance of the moving averages, around the horizontal resistance at 0.7585-0.7590 and around the bearish channel resistance area. The AUDUSD may stall or reverse bullish around the bearish channel support 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. 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. US Unemployment Claims data will be released at 1330 UTC today.
EURGBP – 1 Hour Chart
The EURGBP continued to find resistance around the 38.2% Fib level and has since been bearish (as suggested in yesterday’s chart analysis). Price is now looking a little indecisive. The moving averages confirm this – they are moving sideways. The EURGBP may range between the horizontal levels at 0.8485 and 0.8590. Trading opportunities may exist around these horizontal levels and if price moves out of the potential horizontal channel (break-out trade).
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. There is an ECB Speech scheduled at 2100 UTC today.
EURUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price continues to move within the horizontal channel at 1.0640-1.0680 and range. Trading opportunities could exist around the horizontal channel support and resistance areas and if the EURUSD moves out of the channel (break-out trade). The moving averages confirm the current indecision – they are tight and moving sideways.
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. US Unemployment Claims data will be released at 1330 UTC today. This is followed by a ECB Speech scheduled at 2100 UTC.
GBPUSD – 1 Hour Chart
Price continues to be choppy and move within a horizontal channel. The moving averages confirm the market indecision – they have been crossing frequently and are moving sideways. Trading opportunities could exist around the range support and resistance areas around 1.2400 and 1.2550 and if the GBPUSD moves out of the range (break-out trade).
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. US Unemployment Claims data will be released at 1330 UTC today.
NZDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, the NZDUSD has found resistance around the previous horizontal support area and the longer-term moving average. Price is down-trending within a bearish channel. The moving averages are bearish and steady, signalling that the downtrend may continue. Opportunities to go short could exist around the moving averages, around the horizontal level at 0.6980 and around the bearish channel 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. US Unemployment Claims data will be released at 1330 UTC today.
USDCAD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price reversed bullish around the 38.2% Fib level and has since been attempting to form a swing higher. The moving averages are bullish and are steady, signalling that the USDCAD could continue to be bullish. Price still looks indecisive though, suggesting that a swing high may fail. Trading opportunities could exist around the horizontal levels at 1.3380 and 1.3455. Buying opportunities could exist around the dynamic support of the moving averages.
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. US Unemployment Claims data will be released at 1330 UTC today.
USDCHF – 1 Hour Chart
The USDCHF moved above the range resistance and then moved higher (as suggested in yesterday’s chart analysis). Price has since reversed the bullish move and is back around the previous range resistance area. The moving averages are bullish and steady, signalling that the USDCHF may attempt another swing higher. Buying opportunities may exist around the previous range support and resistance at 1.0005 and 1.0030 and around the bullish moving averages.
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%. US Unemployment Claims data will be released at 1330 UTC today.
USDJPY – 1 Hour Chart
Price continues to move within the large horizontal channel at 110.15-112.10. Price action has now also formed a tightening triangular pattern. The moving averages confirm the current indecision – they have been crossing frequently and providing no clear market direction. Trading opportunities could exist around the triangular and horizontal support and resistance areas and if the USDJPY moves out of either of the patterns (break-out trade).
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. US Unemployment Claims data will be released at 1330 UTC today.
XAUUSD – 1 Hour Chart
GOLD continues to range between the horizontal levels at 1240.50 and 1260.00. The moving averages confirm the current indecision – they are tight and have been crossing frequently. Trading opportunities could exist around the range support and resistance areas and if price moves out of the channel (break-out trade). GOLD has also formed a symmetrical price pattern. This could provide some trading opportunities.
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