Inter-day Forex Analysis – Daily Charts – August 05, 2016

AUDUSD – Daily Chart

The AUDUSD is currently testing a potential triangular consolidation resistance area. The moving averages are bearish but are tightening, suggesting that price could still move higher. There could be a potential selling opportunity around the consolidation resistance area. A buying opportunity may present itself if price closes above the resistance area and tests the area as support.

The Bank of Australia have decided to hold rates at the low of 1.50% – this as well as other poor economic data has contributed to some weakness in the Australian Dollar. As expected, the Fed hasn’t changed US rates but have kept them at the low rate 0.50% – this has contributed to some weakness in the US Dollar. US Non-Farm Employment Change data is set to be released at 1230 UTC today. This event is likely to cause a lot of volatility and market movement. US Average Earnings and Unemployment Rate data is set to be released at the same time.

EURUSD – Daily Chart

The EURUSD is coming off the trend resistance area and is currently moving lower. The moving averages are bearish, confirming that price could move lower. Selling opportunities could exist at the break of yesterday’s low and if price re-tests the resistance area. A bearish move is likely to stall or reverse around the horizontal support at 1.0970.

The future of the Euro is very unclear (not uncertain, just indecisive). As expected, the Fed hasn’t changed US rates but have kept them at the low rate of 0.50% – this has contributed to some weakness in the US Dollar. The EURUSD has been rallying since the Fed announcement and may now have some clear price direction. US Non-Farm Employment Change data is set to be released at 1230 UTC today. This event is likely to cause a lot of volatility and market movement. US Average Earnings and Unemployment Rate data is set to be released at the same time.

USDCAD – Daily Chart

The USDCAD is currently around the trend support area. The moving averages have crossed bullish, suggesting that the trend support could hold and that price could move higher. Buying opportunities could exist around the trend support area and around the dynamic support of the bullish moving averages.

The Fed recently didn’t change US rates but kept them at the low rate of 0.50% – this has contributed to some weakness in the US Dollar. US Non-Farm Employment Change data is set to be released at 1230 UTC today. This event is likely to cause a lot of volatility and market movement. US Average Earnings and Unemployment Rate data is set to be released at the same time.

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