Intraday Forex Analysis – 1 Hour Charts – June 22, 2017


 

AUDUSD – 1 Hour Chart

 

AUDUSD - 22.06.2017

As suggested in yesterday’s chart analysis, price has been rejected around the previous horizontal channel support area and has continued to be bearish. The moving averages are bearish and are widening, suggesting that the AUDUSD could continue to move lower. Selling opportunities may exist around the previous horizontal channel support area at 0.7575 and around the bearish moving averages. Price may stall or reverse around the horizontal support at 0.7520.

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. As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties intensify.

US Unemployment Claims will be announced at 1230 UTC today.

 

EURGBP – 1 Hour Chart

 

EURGBP - 22.06.2017

Price has reversed bullish around the longer-term moving average and the diagonal support area (as suggested in yesterday’s chart analysis). The EURGBP has formed a new swing high and the moving averages are bullish and are widening, signalling that the buying momentum may continue. Opportunities to go long could exist around the dynamic support of the moving averages, around the trend support area and around the horizontal level at 0.8775. Price may stall or reverse around the horizontal levels at 0.8840 and 0.8865.

Article 50 has been triggered – the UK has started preparing negotiations for leaving the European Union. The Conservative government has lost some parliamentary seats and has had to form a minority government to stay in power.  There is concern that this decision may create more political and economic uncertainty for the UK. Recent economic indicators for the UK are suggesting an unexpected slow-down but the Bank of England have an increased favour for increasing interest rates – creating more optimism and strength for the GBP. 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.

 

EURUSD – 1 Hour Chart

 

EURUSD - 22.06.2017

The EURUSD continues to look choppy and be indecisive. The moving averages confirm this – they are moving sideways and providing no clear market direction. Price action has formed a potential horizontal channel at 1.1120-1.1205. Trading opportunities could exist around the horizontal channel support and resistance areas and if the EURUSD moves out of the channel (break-out trade).

As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties 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.

US Unemployment Claims will be announced at 1230 UTC today.

 

GBPUSD – 1 Hour Chart

 

GBPUSD - 22.06.2017

Price has been bullish and has been retracing some of the recent bearish move. The GBPUSD is forming lower swing lows and the moving averages are bearish and are widening, signalling that the downtrend could continue. Price has reversed around the 50.0% Fib level. Shorting opportunities may exist around the 50.0% and 61.8% Fib levels, around the longer-term moving average and around the trend resistance area. The GBPUSD may stall or reverse around the recent swing low at 1.2595.

Article 50 has been triggered – the UK has started preparing negotiations for leaving the European Union.  The Conservative government has lost some parliamentary seats and has had to form a minority government to stay in power.  There is concern that this decision may create more political and economic uncertainty for the UK. Recent economic indicators for the UK are suggesting an unexpected slow-down but the Bank of England have an increased favour for increasing interest rates – creating more optimism and strength for the GBP. As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties intensify.

US Unemployment Claims will be announced at 1230 UTC today.

 

NZDUSD – 1 Hour Chart

 

NZDUSD - 22.06.2017

The NZDUSD continues to be indecisive. Price action has formed a horizontal channel at 0.7185-0.7315 and also a symmetrical triangle and the NZDUSD is consolidating within both patterns. Trading opportunities may exist around either pattern support and resistance areas and if price moves out of either pattern (break-out trade). The moving averages have been crossing frequently and are tight – confirming the current market indecision.

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. As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties intensify.

US Unemployment Claims will be announced at 1230 UTC today.

 

USDCAD – 1 Hour Chart

 

USDCAD - 22.06.2017

As suggested in yesterday’s chart analysis, the USDCAD moved above the consolidation area and has since been bullish. The moving averages have crossed bullish and are widening, suggesting that price could start up-trending. Buying opportunities may exist around the previous range resistance at 1.3295, around the dynamic support of the moving averages and around the previous symmetrical triangle support and resistance areas. A bullish move could stall or reverse around the horizontal levels at 1.3425 and 1.3540.

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. As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties intensify.

US Unemployment Claims will be announced at 1230 UTC today. A Canadian Core Retail Sales figure will be released at the same time.

 

USDCHF – 1 Hour Chart

 

USDCHF - 22.06.2017

Price has been bearish and is nearing the bullish channel support area (as suggested in yesterday’s chart analysis). The USDCHF continues to move within a bullish channel and is currently retracing some of the recent bullish swing. Price action has formed a horizontal channel within the bullish channel at 0.9705-0.9760 and the USDCHF is ranging. The moving averages confirm the current indecision – they are tight and are moving sideways. Trading opportunities could exist around the range support and resistance areas and if price moves out of the range (break-out trade). Buying opportunities may exist around the bullish channel support area. If the USDCHF breaks to the downside, price may stall or reverse around the horizontal support at 0.9660. If the USDCHF breaks to the upside, price could stall or reverse around the bullish channel resistance area.

As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties 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.

US Unemployment Claims will be announced at 1230 UTC today.

 

USDJPY – 1 Hour Chart

 

USDJPY - 22.06.2017

As suggested in yesterday’s chart analysis, price has reversed around the horizontal resistance and previous swing high at 111.75. The USDJPY is now looking indecisive and is possibly moving within a horizontal channel at 110.65-111.75. The moving averages confirm the current indecision – they are tight and are moving sideways. Trading opportunities could exist around the horizontal channel support and resistance areas and if price moves out of the channel (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 or Europe intensifies. As expected, the US Federal Reserve rate has increased to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties continue in the US, there could be some weakness in the US Dollar, especially if the uncertainties intensify.

US Unemployment Claims will be announced at 1230 UTC today.

 

XAUUSD – 1 Hour Chart

 

XAUUSD - 22.06.2017

GOLD moved above the range resistance area and has since been bullish (as suggested in yesterday’s chart analysis). Price is retracing some of the recent bearish move and is nearing the bearish channel resistance area. The moving averages are tight and are moving sideways, signalling that GOLD could become indecision or attempt a move out of the current bearish channel. Trading opportunities may exist around the channel support and resistance areas and around the identified horizontal levels at 1260.00, 1247.10 and 1242.35.