TriumphFX Intraday Forex Analysis – 1 Hour Charts – September 21, 2020


AUDUSD

AUDUSD 1 Hour Chart

As suggested in Friday’s chart analysis, price reversed around the range resistance area.

The AUDUSD continues to be indecisive and range between 0.7265-0.7340. The moving averages are tight and moving sideways, confirming the current 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 find resistance around 0.7410. A break to the downside could find support around the horizontal support levels at 0.7250 and 0.7200.

The Reserve Bank of Australia (RBA) have kept rates at 0.25% (a record low). Policymakers are now focused on economic recovery created by the COVID-19 crisis. The board believe they recovery will be both uneven and bumpy. Low rates and economic stimulus is likely to continue until unemployment levels and other economic indicators are more satisfactory.

The Federal Reserve have suggested that rates may remain low for the short-term future. Rates currently remain at the low of 0.25%. Inflation is around target and the US job market continues to be robust.

The Chair of the Federal Reserve will speak at 1400 UTC today.

EURGBP

EURGBP 1 Hour Chart

Price found resistance around the trend resistance area, as suggested in Friday’s chart analysis.

The EURGBP has since been bullish and has closed above the trend resistance area, suggesting that downside momentum is weakening. The moving averages confirm this – they are tightening and are moving sideways.

Trading opportunities could exist around the moving averages, around the previous trend resistance area (as support) and around the horizontal levels at 0.9070, 0.9085, 0.9210, 0.9255 and 0.9280.

The European Central Bank (ECB) has recently become more optimistic about the Eurozone’s economic future. Strong economic stimulus and low interest rates will need to remain to support growth and inflation though. The interest rate continues to be at the record low of 0.00%.

The Bank of England (BOE) has set the interest rate at a record low of 0.10%. Policymakers believe that the UK will take longer to recover from the COVID-19 economic crisis than first initially thought. They have warned about cutting rates below 0.00%, meaning that a negative rate is unlikely in the near future.

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

EURUSD

EURUSD 1 Hour Chart

As suggested in Friday’s chart analysis, the EURUSD has reversed around 1.1875.

Price continues to be indecisive and lack trend direction. The moving averages confirm the market indecision – they have been crossing frequently and are moving sideways.

Trading opportunities may exist around the moving averages and around any of the horizontal levels at 1.1755, 1.1875, 1.1900 and 1.1995.

The Federal Reserve have suggested that rates may remain low for the short-term future. Rates currently remain at the low of 0.25%. Inflation is around target and the US job market continues to be robust.

The European Central Bank (ECB) has recently become more optimistic about the Eurozone’s economic future. Strong economic stimulus and low interest rates will need to remain to support growth and inflation though. The interest rate continues to be at the record low of 0.00%.

The Chair of the Federal Reserve will speak at 1400 UTC today.

GBPUSD

GBPUSD 1 Hour Chart

The GBPUSD has been bearish.

Price is looking indecisive again. The moving averages are tight and moving sideways, confirming the indecision. The GBPUSD is ranging between 1.2765 and 1.3025.

Trading opportunities could exist around the support and resistance areas of the range and if price moves out of the range (break-out trade).

The Federal Reserve have suggested that rates may remain low for the short-term future. Rates currently remain at the low of 0.25%. Inflation is around target and the US job market continues to be robust.

The Bank of England (BOE) has set the interest rate at a record low of 0.10%. Policymakers believe that the UK will take longer to recover from the COVID-19 economic crisis than first initially thought. They have warned about cutting rates below 0.00%, meaning that a negative rate is unlikely in the near future.

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

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