TriumphFX Intraday Forex Analysis – 1 Hour Charts – August 29, 2017
AUDUSD – 1 Hour Chart
Price moved above the recent range resistance area but has quickly reversed bearish. The AUDUSD continues to look choppy and be indecisive. The moving averages confirm the market indecision – they have been crossing frequently and are moving sideways. Price is ranging between the horizontal support at 0.7870 and the new high at 0.7970. Trading opportunities could exist around the support and resistance of the range and if the AUDUSD moves out of the range (break-out trade).
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.
A US Consumer Confidence figure will be released at 1400 UTC today.
EURGBP – 1 Hour Chart
As suggested in yesterday’s chart analysis, price found support around the shorter-term moving average. As also suggested though, the upside momentum has weakened and the EURGBP has not been able to swing higher. Price is still within the bullish channel but the EURGBP has also formed a horizontal channel at 0.9230-0.9265. Trading opportunities may exist around the horizontal channel support and resistance areas and if price moves out of the horizontal channel (break-out trade). The moving averages are bullish and are steady. Long opportunities may exist around the bullish channel support area and around the moving averages.
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
The EURUSD has continued to be bullish and is forming a swing high (as suggested in yesterday’s chart analysis). The moving averages are very bullish and are still widening, suggesting that price could start up-trending. If the EURUSD starts retracing, buying opportunities may exist around any of the key Fib levels and around the dynamic support of the moving averages.
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.
A US Consumer Confidence figure will be released at 1400 UTC today.
GBPUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, the GBPUSD moved above the range resistance area and has since been bullish (bullish break-out). The moving averages are very bullish and are widening, signalling that price may start up-trending. Opportunities to go long could exist around the previous horizontal resistance levels at 1.2915 and 1.2905 and around the dynamic support of the moving averages.
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.
A US Consumer Confidence figure will be released at 1400 UTC today.
NZDUSD – 1 Hour Chart
Price continues to be indecisive. The moving averages confirm the market indecision – they have been crossing frequently and have no clear trend direction. Trading opportunities may exist around the identified horizontal levels at 0.7195, 0.7260, 0.7280 and 0.7335.
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.
A US Consumer Confidence figure will be released at 1400 UTC today. The Governor of the Reserve Bank of New Zealand (RBNZ) will speak at 0130 UTC.
USDCAD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price reversed bullish off the bearish channel support area and then has bounced off the identified horizontal level at 1.2530. The USDCAD continues to be bearish and downtrend within a bearish channel. Selling opportunities could exist around the horizontal level at 1.2530 and around the bearish channel resistance area. The moving averages are starting to move sideways, signalling that the downside momentum could be weakening. It is possible that price may start ranging between the horizontal levels at 1.2445 and 1.2530. If the USDCAD moves above the bearish channel resistance area, price may stall or reverse around the horizontal levels at 1.2590 and 1.2600.
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 US Consumer Confidence figure will be released at 1400 UTC today.
USDCHF – 1 Hour Chart
The USDCHF continues to be bearish and move lower. Price action recently formed a strong bullish pin bar, suggesting that the USDCHF could start retracing. The moving averages are bearish and are widening, signalling that price could continue to move lower. Shorting opportunities may exist around the dynamic resistance of the moving averages, around the previous horizontal support at 0.9595 and around the trend resistance area.
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.
A US Consumer Confidence figure will be released at 1400 UTC today.
USDJPY – 1 Hour Chart
As suggested in yesterday’s chart analysis, the USDJPY has been rejected around the horizontal channel support area and is currently attempt a bullish move off the support area. Price continues to be indecisive and move within the horizontal channel at 108.60-109.80. Trading opportunities may exist around the horizontal channel support and resistance areas and if the USDJPY moves out of the horizontal channel (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.
A US Consumer Confidence figure will be released at 1400 UTC today.
XAUUSD – 1 Hour Chart
GOLD has moved above the horizontal resistance levels and has moved much higher (as suggested in yesterday’s chart analysis). The moving averages are bullish and are widening, suggesting that the buying momentum may continue. If price starts retracing, long opportunities could exist around any of the key Fib levels, around the dynamic support of the moving averages and around the previous horizontal resistance levels at 1297.45 and 1292.85.
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