Intraday Forex Analysis – 1 Hour Charts – October 07, 2016

AUDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the AUDUSD found resistance around the previous horizontal support and was bearish during yesterday’s trading sessions. The moving averages continue to be bearish and are widening, suggesting that price could move lower. Selling opportunities could exist around the dynamic resistance of the moving averages and around the previous horizontal support (now resistance) at 0.7600.

The Bank of Australia have again decided to hold rates at the low of 1.50%.The Australian Dollar continues to be attractive to currency investors due to the yield on carry trades. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC today. These events are likely to cause a lot of market volatility.

EURGBP – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found support around the shorter-term moving average and was bullish during yesterday’s trading sessions. The moving averages are still bullish but are beginning to tighten, suggesting that price may be due a retracement. Buying opportunities could exist around the dynamic support of the moving averages.

The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. This has caused a sterling sell-off as the 2 year of negotiations for leaving the EU nears. Most economists believe that sterling will continue to weaken long-term. UK Manufacturing Production data is set to be released at 0830 UTC.

EURUSD – 1 Hour Chart

The EURUSD was bearish during yesterday’s trading sessions. Price has moved below the horizontal support at 1.1155, suggesting that the EURUSD may now have some direction and that the choppy price action may now be over. The moving averages confirm this – they are bearish and are widening. Selling opportunities could exist around the dynamic resistance of the moving averages and around the previous horizontal support (now resistance) at 1.1155.

The future of the Euro is very unclear (not uncertain, just indecisive). US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC today. These events are likely to cause a lot of market volatility.

GBPUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found resistance around the shorter-term moving average and was very bearish during yesterday’s trading sessions. The moving averages continue to be bearish, suggesting that price could move lower. Selling opportunities could exist around the dynamic resistance of the moving averages and around the trend resistance area.

The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. This has caused a sterling sell-off as the 2 year of negotiations for leaving the EU nears. Most economists believe that sterling will continue to weaken long-term. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. UK Manufacturing Production data is set to be released at 0830 UTC today. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC. These events are likely to cause a lot of market volatility.

NZDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found resistance around the shorter-term moving average and was bearish during yesterday’s trading sessions. The moving averages continue to be bearish and are widening, suggesting that price may move lower. Selling opportunities could exist around the bearish moving averages.

New Zealand’s economy continues to seem steady. As expected, the Reserve Bank of New Zealand have held rates at 2.00%. The NZD continues to seem steady and is one of the stronger currencies. The New Zealand Dollar continues to be attractive to currency investors due to the yield on carry trades. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC. These events are likely to cause a lot of market volatility.

USDCAD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the USDCAD found support around the shorter-term moving average and was bullish during yesterday’s trading sessions. The moving averages are bullish and are showing little sign of weakening, suggesting that price could move higher. Buying opportunities could exist around the trend support area, around the moving averages and if price closes above the horizontal resistance at 1.3260. If price does close above the horizontal resistance, price may start up-trending.

US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Most economists believe that a US rate hike could happen in December. Recent Canadian economic figures have been very poor but the recent appreciation in OIL has given some strength to the Canadian Dollar. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC. Canadian Unemployment data is set to be released at the same time. These events are likely to cause a lot of market volatility.

USDCHF – 1 Hour Chart

The USDCHF has closed above the range resistance and could now move higher. The moving averages are bullish but are tightening though, suggesting that price may pullback before attempting a move higher. Buying opportunities could exist around the previous range resistance at 0.9815, around the bullish moving averages and around the trend support area.

US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC. These events are likely to cause a lot of market volatility.

USDJPY – 1 Hour Chart

As suggested in yesterday’s chart analysis, the USDJPY found support around the shorter-term moving average and was bullish during yesterday’s trading sessions. The moving averages continue to be bullish and steady, suggesting that price could move higher. Price is looking a little over-extended though and may soon start retracing. Buying opportunities could exist around the dynamic support of the moving averages.

The Bank of Japan have announced a slight hike in their rate, from -0.20% to -0.10%. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. Though recent US economic news has been disappointing and the Presidential election nears, shedding some doubt on a rate hike being sooner rather than later. Most economists believe that a US rate hike could happen in December. US Unemployment Change and Non-Farm Payrolls data is set to be released at 1230 UTC. These events are likely to cause a lot of market volatility.

XAUUSD – 1 Hour Chart

GOLD was bearish and moved lower during yesterday’s trading sessions (as suggested in yesterday’s chart analysis). The moving averages are beginning to tighten, suggesting that selling momentum could be weakening. If price pulls back, selling opportunities could exist around the bearish moving averages and around the trend resistance area.

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