TriumphFX Intraday Forex Analysis – 1 Hour Charts – August 22, 2017


 

AUDUSD – 1 Hour Chart

 

AUDUSD - 22.08.2017

The AUDUSD continues to range between the recent swing low at 0.7870 and the horizontal resistance at 0.7960. Trading opportunities may exist around the range support and resistance areas and if price moves out of the range (break-out trade). The moving averages are bullish and are steady, signalling that the AUDUSD could break to the upside. An upside move may stall or reverse around the horizontal resistance at 0.7980.

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. 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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

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

 

EURGBP – 1 Hour Chart

 

EURGBP - 22.08.2017

As suggested in yesterday’s chart analysis, the EURGBP moved above the ascending triangle consolidation pattern and has since been bullish. Price continues to uptrend within a bullish channel. The moving averages are bullish and are widening again, suggesting that the uptrend could continue. Opportunities to go long may exist around the previous consolidation resistance at 0.9145, around the bullish moving averages and around the bullish channel support area. The EURGBP could stall or reverse around the channel resistance area.

The UK has started negotiations for leaving the European Union. Brexit and political uncertain in the UK are causing weakness in sterling. 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 Euro-zone 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

 

EURUSD - 22.08.2017

Price continues to be indecisive and move within the horizontal channel at 1.1690-1.1840. The moving averages confirm the market indecision – they have been crossing frequently. Trading opportunities could exist around the horizontal channel support and resistance areas and if the EURUSD moves out of the horizontal 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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken. The ECB have announced that the economic future of the Euro-zone 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

 

GBPUSD - 22.08.2017

As suggested in yesterday’s chart analysis, price has been reversing around the range support and resistance areas. The GBPUSD is ranging between the horizontal support at 1.2845 and the horizontal resistance at 1.2905. Trading opportunities may exist around the range support and resistance areas and if price moves out of the range (break-out trade). If the GBPUSD breaks to the upside, price could stall or reverse around the horizontal levels at 1.2955 and 1.3015. The moving averages are tight and are moving sideways – confirming the current indecision.

The UK has started negotiations for leaving the European Union. Brexit and political uncertain in the UK are causing weakness in sterling. 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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

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

 

NZDUSD – 1 Hour Chart

 

NZDUSD - 22.08.2017

Price has been rejected several times around the horizontal channel resistance area (as suggested in yesterday’s chart analysis). The NZDUSD moved below the ascending triangle pattern but there was little reaction. The horizontal channel at 0.7225-0.7330 continues to hold. Trading opportunities may 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 steady, signalling that the NZDUSD could break to the upside. If it does, price may stall or reverse around the horizontal resistance at 0.7365.

The Reserve Bank of New Zealand recently kept rates at 1.75% and announced that there will unlikely 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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

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

 

USDCAD – 1 Hour Chart

 

USDCAD - 22.08.2017

As suggested in yesterday’s chart analysis, the USDCAD has found support around the 1.2555 horizontal support area. Price continues to be bearish within a bearish channel. The moving averages are bearish and are widening, suggesting that the USDCAD could continue to move to the downside. Shorting opportunities may exist around the dynamic resistance of the moving averages, around the identified diagonal resistance and around the bearish channel resistance area. Price may find support around the horizontal support at 1.2555 and around the bearish channel support 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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

A Canadian Retail Sales figure will be released at 1230 UTC today.

 

USDCHF – 1 Hour Chart

 

USDCHF - 22.08.2017

The USDCHF has reversed off the range support area (as suggested in yesterday’s chart analysis). Price continues to range between the horizontal support at 0.9595 and the horizontal resistance at 0.9765. The moving averages have been crossing frequently and have been providing no clear trend direction – confirming the market indecision. Trading opportunities could exist around the range support and resistance areas and if the USDCHF moves out of the range (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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken. The Swiss National Bank recently decided to keep rates at -0.75%. The CHF is a safe-haven currency, which means it could strengthen if political uncertainty in the US or Europe intensify or if the possibility of war between the US and North Korea starts to solidify.

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

 

USDJPY – 1 Hour Chart

 

USDJPY - 22.08.2017

Just like the USDCHF, the USDJPY has reversed around the range support area (as suggested in yesterday’s chart analysis). Price continues to move between the horizontal levels at 108.65 and 110.90. The moving averages confirm the current indecision – they have been crossing frequently. Trading opportunities may exist around the range support and resistance areas and if the USDJPY moves out of the range (break-out trade).

The Bank of Japan have kept interest rates at a low of -0.10%. The Yen is a safe-haven currency, which means it could strengthen if political uncertainty in the US or Europe intensify or if the possibility of war between the US and North Korea starts to solidify, though war between these 2 countries may have a negative impact on the JPY due to Japan’s geographical location and history with North Korea. 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 intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

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

 

XAUUSD – 1 Hour Chart

 

XAUUSD - 22.08.2017

GOLD has become indecisive. The moving averages are starting to tighten and move sideways – confirming the market indecision. Price action has formed a horizontal channel at 1282.95-1297.45. Trading opportunities could exist around the horizontal channel support and resistance areas and if GOLD moves out of the channel (break-out trade). Longer-term, price is up-trending and is currently in a retrace phase. Buying opportunities could exist around the identified trend support area.