Intraday Forex Analysis – 1 Hour Charts – November 01, 2016

AUDUSD – 1 Hour Chart

Price continues to be choppy and indecisive. The moving averages confirm this – they are crossing frequently and providing no clear direction. Price could be forming a bearish channel or consolidation, suggesting that price could move lower over coming days. Trading opportunities could exist around the identified support and resistance areas and around the moving averages.

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 Manufacturing data is set to be released at 1400 UTC today.

EURGBP – 1 Hour Chart

As suggested in yesterday’s chart analysis, the EURGBP has found support around the previous range resistance and the longer-term moving average. The moving averages continue to be bullish, suggesting that price could move higher. Buying opportunities could exist around the longer-term moving average, around the trend support area, around the horizontal support at 0.8965 and if price moves above the horizontal resistance at 0.9020. A bullish move may stall or reverse around the horizontal resistance at 0.9020.

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 data is set to be released at 0930 UTC today.

EURUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found support around the shorter-term moving average and has since been bullish. The moving averages are bullish and are widening, suggesting that price could move higher. Buying opportunities could exist if price moves above the previous swing high at 1.0990, around the dynamic support of the moving averages, around the trend support area and around the previous horizontal resistance at 1.0930.

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 Manufacturing data is set to be released at 1400 UTC today.

GBPUSD – 1 Hour Chart

Price continues to range (move sideways within a horizontal channel) between the horizontal support around 1.2100 and the horizontal resistance around 1.2320. The moving averages confirm the lack of price direction – they are moving sideways and are crossing frequently. Price action has also formed a tightening consolidation pattern. The GBPUSD has found resistance around the consolidation resistance area as suggested in yesterday’s chart analysis. Trading opportunities could exist around the range and consolidation support and resistance and if price moves out of the range or consolidation (break-out trade).

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. UK Manufacturing data is set to be released at 0930 UTC today. This is followed by US Manufacturing data at 1400 UTC.

NZDUSD – 1 Hour Chart

The NZDUSD is looking a little choppy but there is some bearish price direction. The moving averages confirm the slight lack of indecision – they are crossing frequently and are tight. Price is currently moving within a horizontal channel, 0.7115-0.7180. Trading opportunities could exist around the identified horizontal support and resistance areas, around the moving averages and if price moves out of the horizontal channel (break-out trade). If price breaks to the downside, price could stall or reverse around the horizontal support at 0.7075.

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. US Manufacturing data is set to be released at 1400 UTC today.

USDCAD – 1 Hour Chart

Price action has formed a tightening and bullish triangular pattern. The moving averages continue to be bullish and are steady, suggesting that price could break to the upside of the price pattern. Buying opportunities could exist around the bullish moving averages, around the trend support area and if price moves above the horizontal resistance at 1.3420. If price moves below the moving averages and the trend support area, price may attempt a bearish move towards the horizontal support at 1.3280.

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 poor but the recent appreciation in OIL has given some strength to the Canadian Dollar. The most recent Rate announcement and BOC press conference did not provide any suggestion that there will be a rate hike any time soon though. US Manufacturing data is set to be released at 1400 UTC today. Canadian GDP data is set to be released at 1230 UTC. This is followed by a BOC Speech at 1600 UTC.

USDCHF – 1 Hour Chart

As suggested in yesterday’s chart analysis, price has reversed around the shorter-term moving average and the previous horizontal support and is now bearish. The moving averages are bearish and are widening, suggesting that price could move lower. Selling opportunities could exist if price moves below the horizontal support levels at 0.9865 and 0.9860, around the dynamic resistance of the moving averages and around the horizontal resistance at 0.9910. A bearish move could stall or reverse around the horizontal support area at 0.9860-0.9870.

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 Manufacturing data is set to be released at 1400 UTC today.

USDJPY – 1 Hour Chart

The USDJPY is looking choppy and indecisive. The moving averages are bullish though, suggesting that price could move higher. Trading opportunities could exist around the identified support and resistance areas on the above chart and around 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 Manufacturing data is set to be released at 1400 UTC today.

XAUUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found support around the dynamic support of the moving averages and has since been bullish. The moving averages are bullish and are widening, suggesting that price could move higher. Buying opportunities could exist around the moving averages and around the channel support area. A bullish move may stall or reverse around the channel resistance area.

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