TriumphFX Intraday Forex Analysis – 1 Hour Charts – December 24, 2019

AUDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price has been bullish and has been finding resistance around 0.6930. The AUDUSD continues to uptrend and is currently attempting to break higher. The moving averages are bullish and steady, signalling that the upside momentum may continue.

Opportunities to go long could exist around the dynamic support of the moving averages, around the trend support area, if prices closes above the resistance at 0.6930 and around the horizontal levels at 0.6900, 0.6865 and 0.6840. AUDUSD may continue to find resistance around 0.6930.

The Reserve Bank of Australia (RBA) has cut rates again by 0.25% to 0.75% (a record low). The current low rate is needed to help reduce the unemployment rate and stimulate economy . It is likely that official rate will stay low and may even be cut further. The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy and ongoing trade tensions with China. The current Fed Funds rate is 2.00%. Pressures of economic recession and from the US President may lead to further rate reductions.

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

EURGBP – 1 Hour Chart

Price closed above the consolidation area and has since been bullish (as suggested in yesterday’s chart analysis). EURGBP has swung above the recent consolidation area and the moving averages are bullish and steady, all signalling that price could start up-trending.

Long opportunities may exist around the trend support area, around the bullish moving averages and around the horizontal levels at 0.8550, 0.8485 and 0.8455. A bullish move could stall or reverse around the recent highs at 0.8585.

The Bank of England (BOE) continues to hold interest rates at 0.75% – 50 base points higher than the 2016 & 2017 low of 0.25%. The official rate could see a limited and gradual increase if there is a smooth Brexit and economic indicators continue to show growth. The Conservative party have won a parliament majority, given hope that the UK Prime Ministers Brexit deal can now be agreed. The European Central Bank (ECB) have cut economic forecasts, some economists predicting that Europe is heading for recession. The official rate continues to be at the record low of 0.00%. This is likely to stay unchanged until the 2nd quarter of 2020.

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

EURUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the EURUSD has been finding resistance around the shorter-term moving average. Price is down-trending and has formed a bearish channel. The moving averages are bearish and steady, signalling that the downtrend may continue.

Opportunities to go short could exist around the dynamic resistance of the moving averages, around the bearish channel resistance area and around the horizontal levels at 1.1105, 1.1145 and 1.1170. A bearish move may be rejected or reverse around the channel support area and around the horizontal support levels at 1.1070 and 1.1050.

The European Central Bank (ECB) have cut economic forecasts, some economists predicting that Europe is heading for recession. The official rate continues to be at the record low of 0.00%. This is likely to stay unchanged until the 2nd quarter of 2020. The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy and ongoing trade tensions with China. The current Fed Funds rate is 2.00%. Pressures of economic recession and from the US President may lead to further rate reductions.

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

GBPUSD – 1 Hour Chart

GBPUSD has been finding resistance around the bearish channel resistance (as suggested in yesterday’s chart analysis). Price is clearly down-trending. The downtrend is moving within a bearish channel. The moving averages are bearish and steady, signalling that the downside momentum could continue.

Shorting opportunities may exist around the channel resistance area, around the bearish moving averages and around the horizontal levels at 1.3070 and 1.3115. A bearish move could find support around the channel support area.

The Bank of England (BOE) continues to hold interest rates at 0.75% – 50 base points higher than the 2016 & 2017 low of 0.25%. The official rate could see a limited and gradual increase if there is a smooth Brexit and economic indicators continue to show growth. The Conservative party have won a parliament majority, given hope that the UK Prime Ministers Brexit deal can now be agreed. The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy and ongoing trade tensions with China. The current Fed Funds rate is 2.00%. Pressures of economic recession and from the US President may lead to further rate reductions.

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 closed above the range resistance area and has since been bullish. NZDUSD is above the recent range and the moving averages are bullish and steady, all signalling that price may continue to uptrend.

Buying opportunities could exist around the moving averages, around the trend support area and around the previous swing high at 0.6620.

The Reserve Bank of New Zealand (RBNZ) have cut rates further to a record low of 1.00%. Due to poor economic indicators, there are no forecast rate hikes in the near future. The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy and ongoing trade tensions with China. The current Fed Funds rate is 2.00%. Pressures of economic recession and from the US President may lead to further rate reductions.

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

USDCAD – 1 Hour Chart

Price has reversed off the range resistance area (as suggested in yesterday’s chart analysis). The USDCAD has become indecisive and is ranging between the recent lows at 1.3105 and the horizontal resistance at 1.3180. The moving averages are tight and moving sideways – confirming the market indecision.

Trading opportunities may exist around the support and resistance areas of the range and if price moves out of the range (break-out trade). A break to the upside could be rejected or reverse around the horizontal levels at 1.3200, 1.3225 and 1.3265.

The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy and ongoing trade tensions with China. The current Fed Funds rate is 2.00%. Pressures of economic recession and from the US President may lead to further rate reductions. The Bank of Canada (BOC) continues to raise interest rates at a steady pace. The current rate is 1.75% – it’s highest since December 2008. The economy is currently performing well and inflation targets are currently at their potential, meaning that the rate of 1.75% may not change in the near future.

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

USDCHF – 1 Hour Chart

The USDCHF continues to be indecisive and lack trend direction.

Trading opportunities could exist around the moving averages and around the horizontal levels at 0.9770, 0.9830, 0.9870, 0.9895 and 0.9910.

The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy and ongoing trade tensions with China. The current Fed Funds rate is 2.00%. Pressures of economic recession and from the US President may lead to further rate reductions. The Swiss National Bank (SNB) continues to keep rates at the all-time low of -0.75%. The Swiss economy was stagnant throughout late 2018 but has been showing signs of positive momentum in 2019. The Swiss Franc continues to be highly valued, especially due to the current global uncertainties around Brexit and the US. The SNB has announced that it will continue to intervene with in foreign exchange markets.

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

USDJPY – 1 Hour Chart

USDJPY continues to be indecisive and range between 109.20 and 109.70. The moving averages confirm the current indecision – they are tight and moving sideways.

Trading opportunities may exist around the support and resistance areas of the range and if the USDJPY closes out of the range (break-out trade). A break to the downside could stall or reverse around the horizontal levels at 108.95, 108.85 and 108.80.

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, price has continued to be bullish and has moved higher. GOLD is up-trending. The moving averages are bullish and widening, signalling that the uptrend may continue.

Opportunities to go long could exist around the dynamic support of the moving averages, around the trend support area and around the horizontal levels at 1484 and 1481.

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