Intraday Forex Analysis – 1 Hour Charts – July 12, 2016

AUDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found dynamic support at the shorter-term moving average and moved higher. The upside move is now stalling around the trend resistance line (as also suggested in yesterday’s chart analysis). If price pulls back in today’s trading sessions, there could be buying opportunities around the bullish moving averages or around the trend support line currently sitting at 0.7545. Price may continue to stall or even reverse at the trend resistance lines.

Due to the UK planning on leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the AUDUSD to move lower. A political winner from the recent Australian election has been announced, this strengthened the AUD slightly. There is no major scheduled news today that impacts this currency pair.

EURGBP – 1 Hour Chart

The EURGBP has been bearish and has moved below the clear horizontal support at 0.8500 (as predicted in yesterday’s chart analysis). The moving averages have crossed bearish and are widening, suggesting that the bearish move could continue. Price is also forming lower lows and lower highs. Selling opportunities could exist around the previous horizontal support (now resistance) at 0.8500, around the bearish moving averages and around the trend resistance line (as identified in the above chart).

Due to the UK planning on leaving the EU, there has been a strong GBP sell-off. The UK has appointed a new prime minister, this has provided some stability and strength to the GBP. There is a BOE speech this coming Thursday, most believe that the BOE will announce a small cut in interest rates. There is also a BOE speech today at 0900 UTC.

EURUSD – 1 Hour Chart

Price has found support at the horizontal support level (possible range support) at 1.1020 – as suggested in yesterday’s chart analysis. Price is now testing the downwards channel resistance. Overall, the EURUSD is looking a little choppy. The moving averages continue to be bearish, suggesting that the current downwards channel could continue, but longer-term price is moving sideways and consolidating between the horizontal support at 1.1020 and the horizontal resistance at 1.1165. Buying and selling opportunities could exist around the range support and resistance areas. A selling opportunity could exist around the channel resistance area.

Due to the UK leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the EURUSD to move lower. There is no major scheduled news today that impacts this currency pair.

GBPUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the GBPUSD closed above the trend resistance line and has started a bullish move higher. I expect the GBPUSD to be bullish now (at least for the short-term). The moving averages confirm this as they have crossed bullish. Buying opportunities could exist around the dynamic support of the moving averages or if price pulls back and closes with a strong bullish setup or pattern.

Due to the UK planning on leaving the EU, the USD has strengthened and the GBP continues to weaken. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the GBPUSD to move lower. The UK has appointed a new prime minister, this has provided some stability and strength to the GBP. There is a BOE speech this coming Thursday, most believe that the BOE will announce a small cut in interest rates. There is also a BOE speech today at 0900 UTC.

NZDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price was bearish in yesterday’s trading sessions as price retraced off the trend resistance line. The NZDUSD continues to move within the upwards channel and is currently very bullish.

Due to the UK planning on leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the NZDUSD to move lower.  There is no major scheduled news today that impacts this currency pair.

USDCAD – 1 Hour Chart

The USDCAD continues to move higher but is currently retracing some of yesterday’s bullish move. If price continues to retrace, there could be buying opportunities around the bullish moving averages.

Due to the UK planning on leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors are likely to carry on buying safe heaven assets like the Japanese Yen, the US Dollar and GOLD. This could help the USDCAD move higher over coming days and weeks. If the OIL markets appreciate though, we could see the CAD strengthen. This may cause a slightly hesitant and indecisive USDCAD. Currently the price of OIL continues to fall, giving added strength to the USDCAD. There is no major scheduled news today that impacts this currency pair.

USDCHF – 1 Hour Chart

The USDCHF is currently moving sideways between the horizontal support at 0.9815 and the horizontal resistance at 0.9850. The moving averages are very bullish and price is nearing a clear trend support line, both suggesting that price could move higher and above the horizontal resistance. Buying opportunities could exist as price tests the horizontal support and around the trend support line. If the horizontal resistance holds and price closes below the trend support line, price could move much lower during this weeks trading sessions.

Due to the UK planning on leaving the EU, the USD has strengthened. As economic uncertainty continues, traders and investors could continue to buy safe heaven financial assets like the Japanese Yen, the US Dollar and GOLD – possibly causing the USDCHF to move higher. There is no major scheduled news today that impacts this currency pair.

USDJPY – 1 Hour Chart

As suggested in yesterday’s chart analysis, the USDJPY was very bullish in yesterday’s trading sessions. Price continues to be bullish and is currently testing the previous swing high level. From a technical view, there is very support and resistance levels currently on USDJPY. The moving averages have crossed bullish and continue to widen, suggesting that the bullish run could continue.

Due to the UK planning on leaving the EU, the JPY has strengthened. As economic uncertainty continues, traders and investors are likely to carry on buying safe heaven assets like the Japanese Yen, the US Dollar and GOLD. This could cause some hesitation and indecision on the USDJPY, as the USD and JPY is being bought. There is no major scheduled news today that impacts this currency pair.

XAUUSD – 1 Hour Chart

As identified in yesterday’s chart analysis, price has formed a double top reversal pattern. The moving averages have also crossed bearish and price is comfortably moving below the moving averages, both suggesting that price could be bearish in today’s trading sessions. Selling opportunities could exist around the dynamic resistance of the moving averages. There is a clear trend support line currently sitting around 1350. Price could stall or even reverse around this area.

Due to the UK planning on leaving the EU, the markets are very uncertain. As economic uncertainty continues, traders and investors are likely to carry on buying safe heaven assets like the Japanese Yen, the US Dollar and GOLD. This may help GOLD continue to move higher.

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