Intraday Forex Analysis – 1 Hour Charts – November 28, 2016

AUDUSD – 1 Hour Chart

As suggested in Friday’s chart analysis, price has been bullish and has formed an uptrend (higher swing highs and lows). The moving averages are bullish and are starting to widen, suggesting that price could move higher. Buying opportunities could exist around the trend support area, around the bullish moving averages and around the identified horizontal support 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

The EURGBP is currently around a trend resistance area. The moving averages are bearish but are beginning to tighten and move sideways, suggesting that selling momentum is weakening. Selling opportunities could exist around the trend resistance but a bearish move could stall or reverse around the previous swing low at 0.8470. If price moves above the trend resistance area, a bullish move could stall or reverse around the horizontal resistance areas at 0.8585 and 0.8630.

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. A ECB Speech is scheduled for 1400 UTC today.

EURUSD – 1 Hour Chart

Price has been bullish and has moved above a recent swing high. The moving averages are bullish but they are tightening and are likely to cross bullish during today’s trading sessions, suggesting that the EURUSD could move higher. Buying opportunities could exist around the previous swing high at 1.0645, around the dynamic support of the moving averages and around the trend support area.

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. A ECB Speech is scheduled for 1400 UTC today.

GBPUSD – 1 Hour Chart

The GBPUSD continues to look choppy and indecisive. The moving averages confirm this – they are tight and crossing frequently. Recent price action has been bullish though and has formed some clear trend support areas. Price is also above the recent resistance levels and above the moving averages, all suggesting that price could attempt a break to the upside of the consolidation. Buying opportunities could exist around the moving averages, around the trend support area and around the several horizontal support levels identified on the above chart.

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 that will directly impact this pair during today’s trading sessions.

NZDUSD – 1 Hour Chart

As suggested in Friday’s chart analysis, price has closed above the recent swing high and has formed a large double-bottom price pattern. The moving averages are bearish but are tightening and are likely to cross bullish during today’s trading sessions, suggesting that price could still move higher. If price pulls-back before attempting a move higher, buying opportunities could exist around the previous horizontal resistance levels at 0.7050 and 0.7080, around the bullish moving averages and around the previous trend resistance area.

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

The USDCAD reversed around the bearish channel resistance and has since been bearish (as suggested in Friday’s chart analysis). Price action continues to be choppy and indecisive. The moving averages confirm this – they are crossing frequently and moving sideways. Trading opportunities could exist around the moving averages, around the identified horizontal support and resistance levels and around the channel support and resistance areas.

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. There is no major scheduled news today that will directly impact this pair.

USDCHF – 1 Hour Chart

As suggested in Friday’s chart analysis, price has started retracing and has been bearish. The moving averages are tightening and could cross bearish, suggesting that price could continue to retrace and move lower. A bearish move may stall or reverse around the horizontal support levels at 1.0065 and 1.0075. If price moves below these levels, price could move much lower. Selling opportunities could exist around the trend resistance area and around the bearish moving averages.

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

The USDJPY has been bearish and has been retracing (as suggested in Friday’s chart analysis). The moving averages are bullish but are moving sideways, signalling slight indecision. Selling opportunities could exist around the identified trend resistance. A buying opportunity could exist if price moves above the horizontal resistance at 113.75.

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 found resistance around the shorter-term moving average during Friday’s trading sessions but price has seen moved higher. Price is retracing some of the recent bearish move and is clearly down-trending (lower swing high and lows). The moving averages are bearish but are starting to tighten and move sideways, suggesting that the retracement is not over yet. Selling opportunities could exist around the longer-term moving average, around the trend resistance area and around the 50.0% and 61.8% Fib levels.

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