Intraday Forex Analysis – 1 Hour Charts – November 22, 2016
AUDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price started retracing some of the recent bearish swing and has been bullish. The moving averages are still bearish but are starting to tighten and move sideways, suggesting there could be a lack of selling momentum. Selling opportunities could exist around the key Fib levels, around the dynamic resistance of the moving averages and around the identified horizontal resistance levels.
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. The US Presidential Election result may be a game-changer for the Australian Dollar though. Fears over how a Trump led US will negatively impact the Australian economy are already showing. 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. There is no major scheduled news today that will directly impact this pair.
EURGBP – 1 Hour Chart
As suggested in yesterday’s chart analysis, the EURGBP reversed bearish around the range resistance and has since closed below the recent horizontal channel. The moving averages are bearish and are steady, suggesting that price could move lower. Selling opportunities could exist around the dynamic resistance of the moving averages and around the previous range support 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. UK Court law has put a current hold on triggering Article 50. The British government will now have to go through UK parliament to trigger Article 50. This has given strength to the GBP, as Brexit may now not be such a “hard” Brexit and there is the slightest chance that Article 50 may now never be triggered. There is no major scheduled news today that will directly impact this pair.
EURUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price has started retracing and has been bullish. The bearish moving averages are starting to tighten and move sideways, suggesting that price could retrace further before attempting a move lower. Selling opportunities could exist around the trend resistance area, around the longer-term moving average and around the identified horizontal resistance levels.
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. Most economists believe that a US rate hike could happen in December. A Trump led US may cause strength in the USD. There is no major scheduled news today that will directly impact this pair.
GBPUSD – 1 Hour Chart
The GBPUSD continues to look choppy and indecisive. The moving averages confirm this – they are tight and crossing frequently. Trading opportunities could exist around the identified horizontal support and resistance levels and around 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 Court law has put a current hold on triggering Article 50. The British government will now have to go through UK parliament to trigger Article 50. This has given strength to the GBP, as Brexit may now not be such a “hard” Brexit and there is the slightest chance that Article 50 may now never be triggered. US Fed Chair Yellen recently suggested that there could be a US rate hike before the end of this year. There is no major scheduled news today that will directly impact this pair.
NZDUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, price has been bullish and has retraced some of the recent bearish move. The moving averages are tightening and moving sideways, suggesting that price could be becoming indecisive or retrace further. Selling opportunities could exist around the horizontal resistance levels at 0.7110 and 0.7140. A bearish move could stall or reverse around the horizontal support at 0.6990.
New Zealand’s economy continues to seem steady. As expected, the Reserve Bank of New Zealand have cut rates by 25 points, bring their official rate to 1.75%. 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. There is no major scheduled news today that will directly impact this pair.
USDCAD – 1 Hour Chart
Price is looking choppy and indecisive. The moving averages confirm this – they are crossing frequently and moving sideways. Trading opportunities could exist around the moving averages and around the several identified horizontal support and resistance levels.
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. A Trump led US could provide some strength in the USD. Recent Canadian economic figures have been mixed. 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. Canadian Retail Sales data is set to be released at 1330 UTC today.
USDCHF – 1 Hour Chart
As suggested in yesterday’s chart analysis, the USDCHF is starting to lack buying momentum. Even though price has not started retracing, the USDCHF is struggling to move higher. The moving averages confirm the lack of momentum – they are beginning to tighten and move sideways. Trading opportunities could exist around the range support and resistance areas and around the moving averages. A trading opportunity could also exist when price moves out of the range (break-out trade).
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. A Trump led US may cause weakness in the USD and possible strength to the CHF (safe-haven currency). There is no major scheduled news today that will directly impact this pair.
USDJPY – 1 Hour Chart
As suggested in yesterday’s chart analysis, price is starting to lack buying momentum. Even though price has not started retracing, it is struggling to move higher. The moving averages are still bullish though, suggesting that price could move higher. Trading opportunities could exist around the range support and resistance areas and around the moving averages. A trading opportunity could also exist when price moves out of the range (break-out trade).
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. Most economists believe that a US rate hike could happen in December. A Trump led US may cause weakness in the USD and possible strength to the JPY (safe-haven currency). There is no major scheduled news today that will directly impact this pair.
XAUUSD – 1 Hour Chart
GOLD continued to retrace during yesterday’s trading sessions and has been bullish. Price has found resistance around the longer-term moving average (as suggested in yesterday’s chart analysis) and now may attempt a move lower. Price is looking a little indecisive though and seems to be lacking momentum. The moving averages confirm this – they have crossed bearish but are moving sideways. A bearish move could stall or reverse around the horizontal support at 1205.00.
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