Intraday Forex Analysis – 1 Hour Charts – June 06, 2017


 

AUDUSD – 1 Hour Chart

 

AUDUSD - 06.06.2017

Price continues to be indecisive. The moving averages confirm this – they have been crossing frequently and providing no clear market direction. From a technical view, there are very few areas that may provide trading opportunities. The AUDUSD may stall or reverse around the horizontal levels at 0.7370, 0.7420 and 0.7510.

The Reserve Bank of Australia (RBA) 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 but there is no major economic indicator that suggests that the RBA will raise rates any time soon. The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify.

An Australian GDP figure will be released at 0130 UTC.

 

EURGBP – 1 Hour Chart

 

EURGBP - 06.06.2017

The EURGBP is ranging between the horizontal levels at 0.8695 and 0.8765. The moving averages are tight and are moving sideways – confirming the current indecision. Trading opportunities could exist around the range support and resistance areas and if price moves out of the range (break-out trade). The EURGBP is below the bullish channel support area (from yesterday’s chart analysis). Selling opportunities may exist around the previous channel support as resistance.

Article 50 has been triggered – the UK has started preparing negotiations for leaving the European Union. The British Prime Minister has announced a general election to be held on 8th June (this coming Thursday). The purpose of this election is to form a majority government in order to strengthen government unity. Recent economic indicators for the UK are suggesting an unexpected slow-down. The Bank of England recently kept rates at 0.25% and announced that wage growth is stagnant while inflation is increasing, causing some concerns for the UK economy. 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 pair.

 

EURUSD – 1 Hour Chart

 

EURUSD - 06.06.2017

As suggested in yesterday’s chart analysis, the EURUSD found support around the shorter-term moving average and continues to uptrend within a bullish channel. The moving averages are bullish and are steady, signalling that price could move higher. Buying opportunities may exist around the dynamic support of the moving averages, around the bullish channel support area and around the horizontal support at 1.1205. The EURUSD may stall or reverse around the previous swing high at 1.1280 and around the channel resistance area.

The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify. 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 pair.

 

GBPUSD – 1 Hour Chart

 

GBPUSD - 06.06.2017

Price has moved above the consolidation resistance area and has since been bullish (as suggested in yesterday’s chart analysis). The GBPUSD is moving within a bullish channel and the moving averages are bullish and steady, suggesting that price may attempt a move higher. Long opportunities could exist around the previous horizontal resistance levels at 1.2910 and 1.2890, around the moving averages and around the bullish channel support area. The GBPUSD may stall or reverse around the channel resistance area and around the horizontal levels at 1.2935 and 1.2990.

Article 50 has been triggered – the UK has started preparing negotiations for leaving the European Union. The British Prime Minister has announced a general election to be held on 8th June (this Thursday). The purpose of this election is to form a majority government in order to strengthen government unity. Recent economic indicators for the UK are suggesting an unexpected slow-down. The Bank of England recently kept rates at 0.25% and announced that wage growth is stagnant while inflation is increasing, causing some concerns for the UK economy. The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify.

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

 

NZDUSD – 1 Hour Chart

 

NZDUSD - 05.06.2017

As suggested in yesterday’s chart analysis, price found support around the horizontal level at 0.7115 and has moved higher. The NZDUSD is up-trending within a potential bullish channel. The moving averages are bullish and are widening, suggesting that the buying momentum may continue. Opportunities to go long could exist around the bullish channel support area, around the moving averages and around the horizontal levels at 0.7145 and 0.7115. Price may stall or reverse around the channel resistance area.

The Reserve Bank of New Zealand recently kept rates at 1.75% and announced that there will not be a rate hike in the foreseeable future. The New Zealand Dollar continues to be attractive to currency investors due to the yield on carry trades. The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify.

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

 

USDCAD – 1 Hour Chart

 

USDCAD - 06.06.2017

The USDCAD continues to move within a large horizontal channel at 1.3435-1.3540. The moving averages confirm the market indecision – they are tight and are moving sideways. Trading opportunities may exist around the horizontal channel support and resistance areas and if price moves out of the channel (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 sell-off in the OIL market has caused some Canadian Dollar weakness. The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify.

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

 

USDCHF – 1 Hour Chart

 

USDCHF - 06.06.2017

As suggested in yesterday’s chart analysis, the USDCHF continues to move within a bearish channel and downtrend. The moving averages are bearish and are steady, signalling that price may attempt a move towards the channel support area. Shorting opportunities could exist around the dynamic resistance of the moving averages, around the channel resistance area and around the previous swing low at 0.9675. Price may stall or reverse around the recent swing low at 0.9620 and around the channel support area.

The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify. The Swiss National Bank recently decided to keep rates at -0.75%. The CHF could strengthen if political uncertainty in the US or Europe intensifies.

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

 

USDJPY – 1 Hour Chart

 

USDJPY - 06.06.2017

Price has closed below the horizontal channel support area and has since been bearish (as suggested in yesterday’s chart analysis). If the USDJPY starts to retrace, selling opportunities could exist around the aggressive trend resistance area, around the bearish moving averages and around the horizontal levels at 110.30 and 110.70. The moving averages have crossed bearish and are widening, signalling that price could 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 or Europe intensifies. The US Federal Reserve have kept rates at 1.00%. The next rate hike is expected this month (June 2017) though US political uncertainties continue. These events may cause weakness in the US Dollar, especially if they intensify.

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

XAUUSD – 1 Hour Chart

 

XAUUSD - 06.06.2017

As suggested in yesterday’s chart analysis, GOLD continues to uptrend and be bullish. The moving averages are bullish and are widening, suggesting that price could continue the bullish run. Buying opportunities may exist around the identified horizontal levels and around the dynamic support of the moving averages.