Intraday Forex Analysis – 1 Hour Charts – March 21, 2017
AUDUSD – 1 Hour Chart
The AUDUSD is retracing after a recent bullish move. The moving averages are bullish and steady, suggesting that price may attempt another bullish move. Buying opportunities could exist around the bullish moving averages, around the previous swing low at 0.7665 and if the AUDUSD moves above the recent swing high at 0.7740. Price may stall or reverse bearish around the previous swing high and even range between the horizontal levels at 0.7665-0.7740.
The Bank of Australia recently decided to hold rates at 1.50%.The Australian Dollar continues to be attractive to currency investors due to the yield on carry trades. There are concerns over how a Trump led US could negatively impact the Australian economy. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
EURGBP – 1 Hour Chart
As suggested in yesterday’s chart analysis, the EURGBP reversed bullish around the bearish channel support area. Price has continued to move within the bearish channel and is currently attempting a move above the channel resistance area. The EURGBP is above the moving averages and the moving averages are tightening and moving sideways, all signalling that price may become more bullish or start ranging. If the EURGBP closes above the channel resistance area, opportunities to go long could exist around the bullish channel resistance as support.
The British Prime Minister has announced that Article 50 will be triggered by the end of March 2017. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. British Prime Minister Theresa May has provided Brexit negotiation details and has announced what deal the UK government would like as they leave the EU. The ECB have announced that the economic future of the Eurozone is looking more stable. Macron emerged as the most convincing during the recent French political debate. Overall, things are looking more positive for the Eurozone. This could continue to provide added strength. UK CPI data is set to be released at 0930 UTC today. This is followed by a Bank of England Speech at 1035 UTC.
EURUSD – 1 Hour Chart
Price was rejected around the longer-term moving average and has since moved higher (as suggested in yesterday’s chart analysis). The moving averages are tightening and becoming more bearish, suggesting that the EURUSD may start retracing today. Price could be forming a horizontal channel at 1.0725-1.0785. Trading opportunities could exist around the horizontal channel support and resistance and if the EURUSD moves out of the channel (break-out trade). There could also be trading opportunities around the other identified support and resistance levels.
The US Federal Reserve have raised interest rates to 1.00%. The US Dollar may continue to strengthen long-term, as further rate hikes are expected. The ECB have announced that the economic future of the Eurozone is looking more stable. Macron emerged as the most convincing during the recent French political debate. This has given strength to the Euro. Overall, things are looking more positive for the Eurozone. This could continue to provide added strength. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
GBPUSD – 1 Hour Chart
The GBPUSD has been moving sideways after the recent bullish swing higher. The moving averages confirm the current indecision – they are tightening. Price action has formed a horizontal channel at 1.2335-1.2420 and the GBPUSD is ranging within the channel. Trading opportunities could exist around the range support and resistance areas and if price moves out of the range (break-out trade). Price action could be forming a bullish channel also. Buying opportunities may exist around the bullish channel support area and 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. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. British Prime Minister Theresa May has provided Brexit negotiation details and announced what deal the UK government would like as they leave the EU. This has given strength to the GBP. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar may continue to strengthen long-term, as further rate hikes are expected. UK CPI data is set to be released at 0930 UTC today. This is followed by a Bank of England Speech at 1035 UTC.
NZDUSD – 1 Hour Chart
Price is consolidating between a bullish trend line and the horizontal resistance at 0.7055. The moving averages are bullish and steady, signalling that the NZDUSD may break to the upside of the consolidation pattern and attempt a move higher. Long opportunities could exist around the dynamic support of the moving averages, around the trend support area and if price moves above the horizontal resistance at 0.7055. If the NZDUSD moves below the trend support area, price may attempt a bearish move.
New Zealand’s economy continues to seem steady. The Reserve Bank of New Zealand recently kept rates at 1.75%. The New Zealand Dollar continues to be attractive to currency investors due to the yield on carry trades. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. A New Zealand GDT Price Index figure is set to be released around 1445 UTC today.
USDCAD – 1 Hour Chart
As suggested in yesterday’s chart analysis, the USDCAD has been ranging within a horizontal channel at 1.3290-1.3370. Price action has now also formed a symmetrical pattern and the USDCAD is consolidating within this pattern also. The moving averages confirm the current indecision, they are very tight. Trading opportunities could exist around the support and resistance of both consolidation patterns and if price moves out of either of the patterns (break-out trade).
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. The recent depreciation of OIL has given some weakness to the Canadian Dollar. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. Canadian Core Retails Sales data will be announced at 1230 UTC today.
USDCHF – 1 Hour Chart
As suggested in yesterday’s chart analysis, price reversed bearish around the 38.2% Fib level and the longer-term moving average. The USDCHF is now moving within a horizontal channel at 0.9945-0.9990. Trading opportunities may exist around the horizontal channel support and resistance areas and if price moves out of the channel (break-out trade). If the USDCHF breaks to the upside, price may reverse bearish around the identified trend resistance area.
The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. The Swiss National Bank have kept rates at -0.75%. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
USDJPY – 1 Hour Chart
The USDJPY is ranging within a horizontal channel at 112.35-112.90 and is also moving within a bearish channel. Trading opportunities could exist around the horizontal channel support and resistance areas and if price moves out of the channel (break-out trade). Shorting opportunities may exist around the dynamic resistance of the moving averages and around the bearish channel resistance area. The moving averages are bearish and are steady, signalling that price may move lower.
The Bank of Japan have kept interest rates at a low of -0.10%. The Yen may see added strength if political uncertainty in the US returns. The US Federal Reserve have raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. There is no major scheduled news that will directly impact this pair during today’s trading sessions.
XAUUSD – 1 Hour Chart
As suggested in yesterday’s chart analysis, GOLD has started retracing and has been slightly bearish. Price is now ranging between 1224.15-1235.25. Trading opportunities may exist around the horizontal channel support and resistance areas and if GOLD moves out of the channel (break-out trade). The moving averages are bullish and steady, signalling that price could move higher. Buying opportunities could exist around the longer-term moving average.
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