TriumphFX Intraday Forex Analysis – 1 Hour Charts – May 21, 2018


 

AUDUSD – 1 Hour Chart

 

AUDUSD - 21.05.2018

Price continues to be indecisive. The moving averages confirm the current lack of trend momentum – they have been crossing frequently and are moving sideways. Trading opportunities may exist around the identified horizontal levels at 0.7415, 0.7450, 0.7490, 0.7545 and 0.7565.

The Reserve Bank of Australia (RBA) have held the official interest rate at 1.5% for over 18 months. The Australian economy continues to grow at a steady pace and produce positive economic indicators under the low interest rate – giving incentive to keep the rate as it is.  The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.

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

 

EURGBP – 1 Hour Chart

 

EURGBP - 21.05.2018

As suggested in Friday’s chart analysis, price has found resistance around the longer-term moving average. The EURGBP continues to be indecisive. The moving averages are tightening and are starting to move sideways – confirming the market indecision. Price is ranging between the horizontal levels at 0.8725 and 0.8750. Trading opportunities could exist around the support and resistance areas of the range and if the EURGBP moves out of the range (break-out trade). A break to the upside may stall or reverse around the horizontal levels at 0.8795, 0.8825 and 0.8840. A break to the downside may stall or reverse around the recent swing low at 0.8715.

Recent economic indicators for the UK have been positive and Brexit negotiations seem to be progressing – giving strength to the GBP. The Bank of England recently increased the base interest rate by 0.25%. There are hints that the Bank of England (BOE) will hike the interest rate again in the near future. 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 – the euro-zone economy is performing well. Recent comments by the ECB have been fairly dovish though. Most economists believe that the current economy boom will slow-down and that an interest rate hike is not in the near future.

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

 

EURUSD – 1 Hour Chart

 

EURUSD - 21.05.2018

The EURUSD reversed around the 23.6% Fib level and has since swung lower (as suggested in Friday’s chart analysis). Price is down-trending. The moving averages are bearish and steady, signalling that the downtrend could continue. Shorting opportunities may exist around the horizontal levels at 1.1765 and 1.1835 and around the dynamic resistance of the moving averages.

The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar. 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 – the euro-zone economy is performing well. Recent comments by the ECB have been fairly dovish though. Most economists believe that the current economy boom will slow-down and that an interest rate hike is not in the near future.

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

 

GBPUSD – 1 Hour Chart

 

GBPUSD - 21.05.2018

The GBPUSD has been bearish. Price is below the recent consolidation area and the moving averages are bearish, all suggesting that the GBPUSD may start down-trending. Price action has also formed a bearish channel. Opportunities to go short could exist around the previous consolidation support at 1.3460, around the dynamic resistance of the moving averages, around the channel resistance area and around the horizontal levels at 1.3560 and 1.3605. A bearish move may be rejected or reverse around the channel support area.

Recent economic indicators for the UK have been positive and Brexit negotiations seem to be progressing – giving strength to the GBP. The Bank of England recently increased the base interest rate by 0.25%. There are hints that the Bank of England (BOE) will hike the interest rate again in the near future. The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.

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

 

NZDUSD – 1 Hour Chart

 

NZDUSD - 21.05.2018

As suggested in Friday’s chart analysis, price has reversed around the horizontal resistance at 0.6930. The NZDUSD continues to look indecisive. The moving averages are tight and are moving sideways – confirming the indecision. Trading opportunities may exist around the diagonal support area and around the horizontal levels at 0.6855, 0.6930, 0.6980 and 0.6995.

The Reserve Bank of New Zealand (RBNZ) recently kept rates at 1.75% and announced that there will unlikely be a rate hike in the foreseeable future – there is some economic uncertainty caused by New Zealand’s GDP and CPI figures. The New Zealand Dollar continues to be attractive to currency investors due to the yield on carry trades. The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.

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

 

USDCAD – 1 Hour Chart

 

USDCAD - 21.05.2018

Price continues to be choppy and indecisive. The moving averages confirm the lack of trend direction – they have been crossing frequently and are moving sideways. Trading opportunities could exist around the horizontal levels at 1.2730, 1.2750, 1.2835, 1.2920 and 1.2980.

The Bank of Canada (BOC) recently raised rates to 1.25%. A recent rally on the oil markets has given some strength to the Canadian Dollar. Economists believe that the BOC will increase the interest rate at least 1 more time before the end of 2018. The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.

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

 

USDCHF – 1 Hour Chart

 

USDCHF - 21.05.2018

As suggested in Friday’s chart analysis, the USDCHF reversed around the horizontal support at 0.9955. Price continues to be indecisive. The moving averages are tight and are crossing frequently – confirming the market indecision. The USDCHF is consolidation between a number of horizontal levels and within a tightening triangular pattern. Trading opportunities may exist around the horizontal levels at 0.9955, 0.9985, 1.0040 and 1.0055 and around the support and resistance areas of the triangle pattern.

The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar. The bearish stock markets may give strength to the Swiss Franc as the CHF is a safe-haven currency. The concern of a potential tariff war between the US and China may also give strength to the CHF.

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

 

USDJPY – 1 Hour Chart

 

USDJPY - 21.05.2018

The USDJPY reversed around the shorter-term moving average and the channel support area (as suggested in Friday’s chart analysis). Price is up-trending. The moving averages are bullish and price action has formed a bullish channel, all signalling that the upside momentum may continue. Buying opportunities could exist around the horizontal levels at 111.05, 110.60 and 110.40, around the channel support area and around the dynamic support of the moving averages. A bullish move may be rejected or reverse around the channel resistance area.

The US Federal Open Market Committee (FOMC)  recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar. Due to the recent plunge in global stock markets, the Yen (safe haven currency) has seen added strength. If stock markets become bearish, the Yen may continue to strength. The concern of a potential tariff war between the US and China may also give strength to the Yen. The Bank of Japan (BOJ) has not changed the official interest rate since early 2016. Economic indicators for Japan continue to show signs of moderate growth.

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

 

XAUUSD – 1 Hour Chart

 

XAUUSD - 21.05.2018

As suggested in Friday’s chart analysis, price has been bearish and is attempting to swing lower. GOLD is down-trending. The moving averages are bearish, signalling that the downtrend could continue. Shorting opportunities may exist around the horizontal levels at 1286.20, 1293.90 and 1295.50 and around the dynamic resistance of the moving averages.