TriumphFX Intraday Forex Analysis – 1 Hour Charts – August 07, 2017
AUDUSD – 1 Hour Chart
Price continued to move sideways during yesterday’s trading sessions but does now seem to have some downward direction. The moving averages confirm this – they are bearish and are no longer crossing frequently. Price action has also formed a bearish channel. Selling opportunities could exist around the moving averages, around the bearish channel resistance area and around the horizontal resistance at 0.7980. A move to the downside may stall or reverse around the bearish channel support area and around the horizontal support levels at 0.7910 and 0.7880.
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. Recent Monetary Policy Minutes have detailed that the Australian economy is improving. This has caused greater bullish momentum. The US Federal Reserve rate recently increased rates 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 political uncertainties intensify.
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, price was rejected and reversed around the shorter-term moving average and is currently attempting a bullish swing. The moving averages are bullish and are widening, suggesting that the EURGBP may attempt to form a swing higher. Buying opportunities could exist around the dynamic support of the moving averages, around the previous horizontal resistance levels at 0.8990 and 0.8975 and around the trend support area. Price could struggle to move above the horizontal resistance and recent swing high at 0.9045.
Article 50 has been triggered – the UK has started 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 and that deflation and economic slow-down is low-risk. This has caused added strength for the Euro.
There is no major scheduled news today that will directly impact this currency pair.
EURUSD – 1 Hour Chart
The EURUSD has moved out of the bullish channel and is now looking indecisive. The moving averages are tightening and are moving sideways – confirming the current indecision. Price action has formed a potential horizontal channel at 1.1720-1.1885. Trading opportunities may exist around the horizontal channel support and resistance areas and if the EURUSD moves out of the channel (break-out trade).
The US Federal Reserve rate recently increased rates 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 political uncertainties intensify. The ECB have announced that the economic future of the Eurozone is looking more stable and that deflation and economic slow-down is low-risk. This has caused added strength for the Euro.
There is no major scheduled news today that will directly impact this currency pair.
GBPUSD – 1 Hour Chart
Just like the EURUSD, the GBPUSD has become indecisive. Trading opportunities could exist around the identified horizontal levels at 1.3010 and 1.3060, around the identified aggressive diagonal resistance and around the moving averages. The moving averages are bearish and are widening, suggesting that price may move lower.
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 US Federal Reserve rate recently increased rates 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 political uncertainties intensify.
There is no major scheduled news today that will directly impact this currency pair.
NZDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price has been moving off the range support and resistance areas. The NZDUSD continues to range between the horizontal support at 0.7390 and the horizontal resistance at 0.7450. Trading opportunities may exist around the range support and resistance areas and if price moves out of the range (break-out trade). If the NZDUSD breaks to the upside, price may stall or reverse around the horizontal resistance at 0.7525. If price breaks to the downside, the NZDUSD could stall or reverse around the horizontal support at 0.7330. The bearish moving averages are tightening – 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. The US Federal Reserve rate recently increased rates 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 political uncertainties intensify.
There is no major scheduled news today that will directly impact this currency pair.
USDCAD – 1 Hour Chart
Price found support around the horizontal channel support area (as suggested in yesterday’s chart analysis). The USDCAD has since broken to the upside and has since been bullish (as also suggested in yesterday’s chart analysis). Price is up-trending – the USDCAD has formed a series of higher swing highs and higher swing lows. Price action has formed a bullish channel and the moving averages are bullish and are widening – all suggesting that the buying momentum may continue. Long opportunities could exist around the previous swing high at 1.2615, around the dynamic support of the moving averages and around the bullish channel support area. A bullish move could stall or reverse around the horizontal resistance at 1.2670 and around the channel resistance area.
The Bank of Canada recently raised rates to 0.75%. The US Federal Reserve rate recently increased rates 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 political uncertainties intensify.
There is no major scheduled news today that will directly impact this currency pair.
USDCHF – 1 Hour Chart
As suggested in yesterday’s chart analysis, the USDCHF moved out of the range and has formed a swing higher. Price action has formed a short series of higher swing highs and higher swing lows – the USDCHF is currently up-trending. The moving averages are bullish and are steady, signalling that the uptrend may continue. Opportunities to go long may exist around the previous range resistance at 0.9715, around the dynamic support of the moving averages and around the trend support area. A bullish move could stall or reverse around the recent swing high at 0.9755.
The US Federal Reserve rate recently increased rates 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 political 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 intensify.
There is no major scheduled news today that will directly impact this currency pair.
USDJPY – 1 Hour Chart
The USDJPY has become indecisive (as suggested in yesterday’s chart analysis). The moving averages confirm the current indecision – they are tight and have been crossing frequently. Price is moving within a large horizontal channel at 109.85-110.90. Trading opportunities may exist around the horizontal channel support and resistance areas and if the USDJPY moves out of the channel (break-out trade). Buying opportunities could exist around the previous trend resistance area (as support).
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 intensify. The US Federal Reserve rate recently increased rates 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 political uncertainties intensify.
There is no major scheduled news today that will directly impact this currency pair.
XAUUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, GOLD has been finding support around the range support area. Price continues to range between the horizontal levels at 1256.55-1272.95 and be indecisive. Trading opportunities may exist around the range support and resistance areas and if GOLD moves out of the range (break-out trade). The moving averages have become bearish and price action has formed a bearish channel, all signalling that price could move lower. Shorting opportunities may exist around the bearish channel resistance area. A move to the downside may stall or reverse around the horizontal support at 1256.55 and 1244.90 and around the bearish channel support area.
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