Intraday Forex Analysis – 1 Hour Charts – April 25, 2017


AUDUSD – 1 Hour Chart

AUDUSD - 25.04.2017

Price continues to look a little choppy and move within a horizontal channel at 0.7475-0.7610 and also a bullish channel. The moving averages confirm the current indecision – they have been crossing frequently and providing no clear direction. Trading opportunities may exist around the horizontal channel support and resistance areas and if the AUDUSD moves out of the channel (break-out trade). Buying opportunities could exist around 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. 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 Australian CPI figure will be announced at 0230 UTC.

EURGBP – 1 Hour Chart

EURGBP - 25.04.2017

As suggested in yesterday’s chart analysis, the EURGBP has been finding resistance around the horizontal level at 0.8505. Price action has formed a horizontal channel at 0.8465-0.8505 and the EURGBP is moving within the channel. Trading opportunities could exist around the horizontal channel support and resistance areas and if price moves out of the channel (break-out trade). The moving averages are bullish and are widening, signalling that the EURGBP could move higher. Buying opportunities could exist 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 British Prime Minister has announced an unexpected general election to be held on 8th June. The purpose of this election is to form a majority government in order to strengthen government unity. 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 French Election is running for 2 weeks, the final result will be announced on 7th May 2017. This election may cause a lot of volatility on Euro pairs due to market uncertainty. The Euro has strengthened as recent polls have suggested that Macron – who is neither strongly left or right –  will win the election.

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

EURUSD – 1 Hour Chart

EURUSD - 25.04.2017

The EURUSD has been quiet and has been moving sideways. The moving averages are bullish and are widening though, suggesting that price may attempt another bullish move. Opportunities to go long could exist around any of the key Fib levels, around the previous bullish channel resistance area and around the dynamic support of the moving averages.

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. A French Election is running for 2 weeks, the final result will be announced on 7th May 2017. This election may cause a lot of volatility on Euro pairs due to market uncertainty. The Euro has strengthened as recent polls have suggested that Macron – who is neither strongly left or right –  will win the election.

US Consumer Confidence data is set to be released at 1500 UTC today.

GBPUSD – 1 Hour Chart

GBPUSD - 25.04.2017

As suggested in yesterday’s chart analysis, price has been moving off the range support and resistance areas. The GBPUSD has formed 2 horizontal channels at 1.2770-1.2830 and 1.2770-1.2850 and price continues to range within these channels. The moving averages are tight and are moving sideways – confirming the current market indecision. Trading opportunities could exist around the range support and resistance areas and if the GBPUSD moves out of either of the ranges (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 British Prime Minister has announced an unexpected general election to be held on 8th June. The purpose of this election is to form a majority government in order to strengthen government unity. 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 Consumer Confidence data is set to be released at 1500 UTC today.

NZDUSD – 1 Hour Chart

NZDUSD - 25.04.2017

Price has continued to be choppy and move between the horizontal levels at 0.6985 and 0.7050. The moving averages confirm the market indecision – they are tight and have been crossing frequently. Trading opportunities could exist around the horizontal channel support and resistance areas and if the NZDUSD moves out of the channel (break-out trade).

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 Consumer Confidence data is set to be released at 1500 UTC today.

USDCAD – 1 Hour Chart

USDCAD - 25.04.2017

The USDCAD has formed a bullish channel and is up-trending within the channel. The moving averages are bullish and are steady, suggesting that price may continue to be bullish. Buying opportunities could exist around the dynamic support of the moving averages and around the bullish channel support area. The USDCAD may stall or reverse around the bullish channel 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 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 Consumer Confidence data is set to be released at 1500 UTC today.

USDCHF – 1 Hour Chart

USDCHF - 25.04.2017

As suggested in yesterday’s chart analysis, the USDCHF has been finding resistance around the bearish moving averages and continues to move within the identified bearish channel. The moving averages are bearish and are starting to widen again, signalling that price may attempt another move lower. Selling opportunities could exist around the dynamic resistance of the moving averages and around the bearish channel resistance area. Price may stall or reverse around the bearish channel support area. If the USDCHF moves above the bearish channel resistance area, price may attempt a bullish move higher.

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 recently decided to keep rates at -0.75%. The CHF may act as a safe-haven currency during the French election and as the Italian and other European elections near.

US Consumer Confidence data is set to be released at 1500 UTC today.

USDJPY – 1 Hour Chart

USDJPY - 25.04.2017

As suggested in yesterday’s chart analysis, price has reversed bullish around the shorter-term moving average and is attempting to swing higher. The moving averages are bullish and are widening, suggesting that the USDJPY may continue to uptrend. Opportunities to go long could exist around the bullish moving averages, around the previous horizontal resistance at 109.40 and around the trend support area.  Price may stall or reverse around the previous swing high at 110.35.

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 Yen may act as a safe-haven currency during the French election and as the Italian and other European elections near. 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 Consumer Confidence data is set to be released at 1500 UTC today.

XAUUSD – 1 Hour Chart

XAUUSD - 25.04.2017

GOLD found resistance around the shorter-term moving average and is currently attempting a bearish move (as suggested in yesterday’s chart analysis). Price is moving within a horizontal channel at 1268.95-1277.50. Trading opportunities may exist around the horizontal channel support and resistance areas and if GOLD moves out of the channel (break-out trade). The moving averages continue to bearish and steady though, signalling that price could move lower. Selling opportunities may exist around the moving averages and around the trend resistance area.