TriumphFX Intraday Forex Analysis – 1 Hour Charts – January 14, 2020


 

AUDUSD – 1 Hour Chart

 

As suggested in yesterday’s chart analysis, price has been finding support and is struggling to swing lower. The AUDUSD is now looking indecisive and is lacking trend direction. The moving averages are bullish and widening though, signalling potential upside.

Trading opportunities may exist around the moving averages and around the horizontal levels at 0.6850, 0.6880, 0.6915 and 0.6925.

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. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector.

US CPI figures will be released at 1330 UTC today.

 

EURGBP – 1 Hour Chart

 

Price reversed around 0.8560 and has since swung higher (as suggested in yesterday’s chart analysis). The EURGBP has been bullish but is looking choppy and indecisive. The moving averages are bullish and widening, signalling that price may move higher.

Buying opportunities could exist around the dynamic support of the moving averages, around the diagonal support area and around the horizontal levels at 0.8560, 0.8550, 0.8540 and 0.8530. The EURGBP may find resistance around the horizontal resistance 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%. There is some concern that rates will be cut due to the concern in the job market. The BOE’s approach with Brexit is still ‘wait and see what happens’. Brexit continues to cause volatile movements in GBP pairs. The European Central Bank (ECB) continue to keep rates at the record low of 0.00%. Due to weak trade growth and economic forecasts, rates are likely to stay low for the foreseeable future.

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 found resistance around the bearish channel resistance area. Price has since been bullish though and has moved above the resistance area. The EURUSD is above the recent bearish channel and the moving averages have crossed bullish, all signalling potential upside.

Long opportunities may exist around the dynamic support of the moving averages, around the previous channel resistance area (as support) and around the horizontal levels at 1.1130 and 1.1090.

The European Central Bank (ECB) continue to keep rates at the record low of 0.00%. Due to weak trade growth and economic forecasts, rates are likely to stay low for the foreseeable future.  The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector.

US CPI figures will be released at 1330 UTC today.

 

GBPUSD – 1 Hour Chart

 

The GBPUSD continues to be bearish and move lower (as suggested in yesterday’s chart analysis). Price continues to downtrend within a bearish channel. The moving averages are bearish and steady, signalling that the downtrend may continue.

Selling opportunities could exist around the dynamic resistance of the moving averages, around the bearish channel resistance area and around the horizontal levels at 1.3000, 1.3020 and 1.3085. A bearish move may be rejected or reverse around the channel support area and around the lows at 1.2915.

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%. There is some concern that rates will be cut due to the concern in the job market. The BOE’s approach with Brexit is still ‘wait and see what happens’. Brexit continues to cause volatile movements in GBP pairs. The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector.

US CPI figures will be released at 1330 UTC today.

 

NZDUSD – 1 Hour Chart

 

As suggested in yesterday’s chart analysis, price has been finding support around 0.6620. The NZDUSD has been down-trending but is currently struggling to swing lower. The moving averages have become tight and are moving sideways, signalling market indecision.

Trading opportunities may exist around the moving averages, around the trend resistance area and around the horizontal levels at 0.6605, 0.6620, 0.6650, 0.6670 and 0.6675.

The Reserve Bank of New Zealand (RBNZ) unexpectedly have kept rates at the record low of 1.00%. Due to poor economic indicators, there are no forecast rate hikes in the near future. Further cuts could happen during 2020. The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector.

US CPI figures will be released at 1330 UTC today.

 

USDCAD – 1 Hour Chart 

 

Price has reversed around the longer-term moving average and has moved higher (as suggested in yesterday’s chart analysis). USDCAD is up-trending. The moving averages are bullish and steady, 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 1.3040 and 1.3015. A bullish move may be rejected or reverse around the highs at 1.3100 and 1.3175.

The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector. 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.

US CPI figures will be released at 1330 UTC today.

 

USDCHF – 1 Hour Chart

 

USDCHF is up-trending and is currently in a retrace phase. Price action has formed a bullish channel. The moving averages have crossed bearish, suggesting that an attempt to swing higher could fail.

Buying opportunities may exist around the channel support area and around the horizontal support levels at 0.9670 and 0.9650. A bullish move could stall or reverse around the moving averages, around the channel resistance area and around the horizontal levels at 0.9720 and 0.9755.

The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector. The Swiss National Bank (SNB) continues to keep rates at the all-time low of -0.75%. The Swiss economy continues to be stagnant but has been showing signs of positive momentum. 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 but will likely keep rates unchanged until at least 2021.

US CPI figures will be released at 1330 UTC today.

 

USDJPY – 1 Hour Chart

 

As suggested in yesterday’s chart analysis, USDJPY has been bullish and has moved higher. Price has swung above the recent consolidation area and the moving averages are bullish and steady, all signalling that the upside direction may continue.

Long opportunities could exist around the dynamic support of the moving averages and around the horizontal levels at 109.65, 109.20 and 108.85. USDJPY may find resistance around the recent highs at 110.15.

The US Federal Open Market Committee (FOMC) has cut rates by a further 25 points due to heightened concerns regarding the economy. The current Fed Funds rate is currently 1.75%. The current monetary plan is to keep the rate unchanged for the foreseeable future. There is some concern that keeping rates low could cause greater issues in the US’ financial sector.  The Bank of Japan (BOJ) continues to keep interest rates at the record low of -0.10%. The Japanese economy is performing well and showing signs of expansion.

US CPI figures will be released at 1330 UTC today.

 

XAUUSD – 1 Hour Chart

 

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

Shorting opportunities may exist around the channel resistance area, around the bearish moving averages and around the horizontal levels at 1544, 1557 and 1579.

 

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