TriumphFX Intraday Forex Analysis – 1 Hour Charts – May 22, 2018


 

AUDUSD – 1 Hour Chart

 

AUDUSD - 22.05.2018

The AUDUSD has been bullish. Price has swung above the recent consolidation area and the moving averages are bullish, all suggesting that the AUDUSD may start up-trending. Price action has also formed a bullish channel. Opportunities to go long could exist around the previous horizontal resistance levels at 0.7565 and 0.7545, around the dynamic support of the moving averages and around the channel support area. A bullish move may stall or reverse around the channel resistance area.

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 - 22.05.2018

As suggested in yesterday’s chart analysis, the EURGBP moved above the range resistance area and has since been bullish. Price continues to be indecisive. The moving averages confirm the indecision – they have been crossing frequently. Trading opportunities may exist around the identified horizontal levels at 0.8715, 0.8725, 0.8750, 0.8795, 0.8825 and 0.8840.

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.

UK inflation report hearings are at 0900 UTC today.

 

EURUSD – 1 Hour Chart

 

EURUSD - 22.05.2018

Price has been bearish and has continued to downtrend (as suggested in yesterday’s chart analysis). The moving averages are starting to tighten and move sideways, signalling market indecision. The EURUSD may start ranging between the horizontal levels at 1.1725 and 1.1835. Trading opportunities could exist around the support and resistance areas of the range and if price closes out of the range (break-out trade).

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 - 22.05.2018

As suggested in yesterday’s chart analysis, price found support around the channel support area and has since been bullish. The GBPUSD continues to move within a bearish channel and the moving averages are bearish and are widening, all signalling that the current downtrend could continue. Shorting opportunities may exist around the previous horizontal support at 1.3460, around the dynamic resistance of the moving averages and around the channel resistance area. Price could continue to find support 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.

UK inflation report hearings are at 0900 UTC today.

 

NZDUSD – 1 Hour Chart

 

NZDUSD - 22.05.2018

The NZDUSD reversed around the diagonal support area (as suggested in yesterday’s chart analysis). Price action has formed a series of higher swing highs and higher swing lows and the moving averages are bullish, all signalling that the NZDUSD may start up-trending. Buying opportunities could exist around the previous horizontal resistance at 0.6930, around the dynamic support of the moving averages and around the diagonal support area. A bullish move may be rejected or reverse around the horizontal resistance levels at 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 - 22.05.2018

As suggested in yesterday’s chart analysis, the USDCAD reversed around the horizontal resistance at 1.2920. Price continues to be indecisive. The moving averages confirm the indecision – they have been crossing frequently and are moving sideways. Trading opportunities may exist around the identified horizontal levels at 1.2730, 1.2750, 1.2905, 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 - 22.05.2018

Price has been finding support around the triangular pattern support area (as suggested in yesterday’s chart analysis). The USDCHF continues to be indecisive. The moving averages are tight and are crossing frequently – confirming the market indecision. Price is consolidating between a number of horizontal levels and within a tightening triangular pattern. Trading opportunities could exist around the horizontal levels at 0.9955, 1.0000, 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 - 22.05.2018

As suggested in yesterday’s chart analysis, price reversed around the bullish channel resistance area. The USDJPY has since been bearish. Price is below the channel support area and the moving averages are moving sideways, signalling that the uptrend could now be over. Trading opportunities may exist around the horizontal levels at 109.15, 110.00, 110.05, 110.40, 110.60 and 111.35 and around the previous support area of the bullish channel.

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 - 22.05.2018

GOLD has become indecisive and is moving sideways. The moving averages are also moving sideways – confirming the current indecision. Price is ranging between the horizontal levels at 1282.75 and 1294.00. Trading opportunities could exist around the support and resistance areas of the range and if GOLD moves out of the range (break-out trade). A break to the upside may stall or reverse around the horizontal levels at 1295.50, 1303.15 and 1305.95.