TriumphFX Intraday Forex Analysis – 1 Hour Charts – October 28, 2020


AUDUSD

AUDUSD 1 Hour Chart

As suggested in yesterday’s chart analysis, price is reversing around the range resistance area.

The AUDUSD continues to be indecisive and lack trend direction. Price is ranging between 0.7100 and 0.7150. The moving averages are slightly bullish, suggesting that the AUDUSD could break higher.

Trading opportunities may exist around the support and resistance areas of the range and if the AUDUSD moves out of the range (break-out trade). A break to the upside could find resistance around 0.7185, 0.7205 and 0.7240. A break to the downside could find support around 0.7090, 0.7065 and 0.7030.

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.

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

EURGBP

EURGBP 1 Hour Chart

Price is finding support around 0.9015, as suggested in yesterday’s chart analysis.

The EURGBP continues to be indecisive and lack trend direction. The moving averages confirm the market indecision – they have been crossing frequently and are moving sideways. If price closes below 0.9015, the EURGBP may attempt a bearish move lower.

Trading opportunities could exist around the diagonal resistance area and around the horizontal levels at 0.9015, 0.9050, 0.9100 and 0.9110.

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 that will directly impact this currency pair.

EURUSD

EURUSD 1 Hour Chart

The EURUSD has been bearish.

Price action has formed a series of lower swing highs and lower swing lows, the EURUSD is down-trending. Price has also formed a bearish channel. The moving averages confirm the potential downside – they are bearish and steady.

Opportunities to go short may exist around the dynamic resistance of the moving averages, around the trend resistance area, around the bearish channel resistance area and around the horizontal levels at 1.1800, 1.1835, 1.1865 and 1.1875. A bearish move could stall or reverse around the channel support area and around the horizontal support levels at 1.1705 and 1.1695.

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%.

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

GBPUSD

GBPUSD 1 Hour Chart

As suggested in yesterday’s chart analysis, the GBPUSD has been reversing around 1.2995 and 1.3070.

Price is indecisive and is ranging between the horizontal levels at 1.2995 and 1.3070. The moving averages are tightening and are moving sideways, confirming the market indecision. The GBPUSD is also indecisive on higher time-frames.

Trading opportunities could 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 may find resistance around 1.3160. A break to the downside may find support around 1.2925, 1.2885 and 1.2865.

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 that will directly impact this currency pair.

USDCAD

USDCAD 1 Hour Chart

Price reversed around the trend support area, as suggested in yesterday’s chart analysis.

USDCAD is up-trending. Price action has formed a bullish channel and the moving averages are bullish and steady, all signalling that the uptrend could continue. Price is also up-trending on higher time-frames.

Opportunities to go long may exist around the bullish channel support area, around the dynamic support of the moving averages and around the horizontal levels at 1.3145, 1.3115 and 1.3090. A bullish move could find resistance around the bullish channel resistance area and around the horizontal levels at 1.3220, 1.3250 and 1.3335.

The Bank of Canada (BOC) continues to keep rates at the low of 0.25%. Policymakers have announced that there are signs of some recovery after the economic crisis caused by COVID-19 but the BOC will continue their quantitative easing program. The BOC are expecting to see economic growth from 2021 onward.

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 BOC will release a rate statement and monetary policy report at 1400 UTC today. This is followed by a press conference at 1515 UTC.

USDCHF 

USDCHF 1 Hour Chart

As suggested in yesterday’s chart analysis, price broke above the range resistance area and has since been bullish.

USDCHF is above the recent consolidation area and the moving averages are bullish and widening, all signalling that price may start up-trending. Price action has formed a tight bullish channel. USDCHF is down-trending on higher time-frames, suggesting that price may become suddenly bearish.

Long opportunities could exist around the bullish channel support area, around the dynamic support of the moving averages and around the horizontal levels at 0.9080 and 0.9060. A bullish move may be rejected or reverse around bullish channel resistance area and around the horizontal levels at 0.9165 and 0.9190.

The Swiss National Bank (SNB) continues to keep rates at the all-time low of -0.75%. The Swiss economy continues to be stagnant. The economy was showing signs of positive momentum but COVID-19 is causing the economic to contraction. The Swiss Franc continues to be highly valued as a safe-haven currency. The SNB recently announced that it will continue to intervene with in foreign exchange markets but will likely keep rates unchanged until at least 2021.

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.

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

USDJPY

USDJPY 1 Hour Chart

USDJPY has been bearish.

Price is down-trending again and is currently attempting a large bearish move. The moving averages have crossed bearish, suggesting that the downtrend could continue. USDJPY is also down-trending on higher time-frames.

Shorting opportunities may exist around the trend resistance area, around the dynamic resistance of the moving averages and around the horizontal levels at 104.40, 104.60 and 105.00.

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 Japan (BOJ) continues to keep interest rates at the record low of -0.10%. The Japanese economy is performing well under the current COVID-19 economic crisis.

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

XAUUSD

XAUUSD 1 Hour Chart

As suggested in yesterday’s chart analysis, GOLD has been finding resistance around 1913.

Price is indecisive and is moving sideways. The moving averages confirm the market indecision – they are tight and moving sideways. GOLD is ranging between 1893 and 1911.

Trading opportunities could 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 downside may find support around 1890, 1883 and 1876. A break to the upside may find resistance around 1931.

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