Intraday Forex Analysis – 1 Hour Charts – April 12, 2017

AUDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the AUDUSD is ranging between the horizontal levels at 0.7480 and 0.7515. The moving averages confirm the market indecision – they are tightening and moving sideways. Trading opportunities may exist around the range support and resistance areas and if price moves out of the range (break-out trade).

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. The US Federal Reserve recently raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US President Trump will speak at 1100 UTC today. This is followed by US Crude Oil Inventories at 1530 UTC. Australian Employment data is set to be released at 0230 UTC.

EURGBP – 1 Hour Chart

The EURGBP reversed bearish around the moving averages and has moved lower (as suggested in yesterday’s chart analysis). The moving averages are bearish and are widening, signalling that price may continue to downtrend. Selling opportunities could exist around the previous channel support and resistance areas, around the dynamic resistance of the moving averages and around the trend resistance area. The EURGBP may stall or reverse around the horizontal support at 0.8485.

Article 50 has been triggered – the UK has started negotiations on leaving the European Union. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. The ECB have announced that the economic future of the Eurozone is looking more stable. There are some concerns though that the UK leaving the EU may weaken the European economy and weaken the Euro. The governor of the Bank of England will speak at 0900 UTC today. This is followed by a UK Average Earnings Index figure at 0930 UTC.

EURUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price moved above the horizontal channel resistance area and has since been bullish. The moving averages are tightening and are moving sideways, suggesting that the EURUSD may become indecisive. Price action has formed a bullish channel though and price is above the moving averages, all signalling that the EURUSD could move higher. Buying opportunities could exist around the bullish channel support area, around the moving averages and around the horizontal support at 1.0575. Price may stall or reverse bearish around the bullish channel resistance area.

The US Federal Reserve recently 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. There are some concerns though that the UK leaving the EU may weaken the European economy and weaken the Euro. US President Trump will speak at 1100 UTC today. This is followed by US Crude Oil Inventories at 1530 UTC.

GBPUSD – 1 Hour Chart

Price has been very bullish and has moved higher. The GBPUSD is currently stalling around the horizontal resistance at 1.2495. The moving averages have crossed bullish, suggesting that price may attempt to move higher. Opportunities to go long could exist around the previous bearish channel resistance area, around the horizontal levels at 1.2455 and 1.2430, around the bullish moving averages and around the trend support area.

Article 50 has been triggered – the UK has started negotiations on leaving the European Union. Most economists did believe that sterling would continue to weaken long-term but there now exists more optimism for the British pound. The US Federal Reserve recently raised interest rates to 1.00%. The US Dollar may continue to strengthen long-term, as further rate hikes are expected. The governor of the Bank of England will speak at 0900 UTC today. This is followed by a UK Average Earnings Index figure at 0930 UTC.

NZDUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the NZDUSD has continued to be bearish off the longer-term moving average and the bearish channel resistance area. Selling momentum is looking a little weak now. The moving averages confirm this – they are tightening and are moving sideways. Price may attempt a bullish move or start ranging. Trading opportunities could exist around the horizontal levels at 0.6925, 0.6965 and 0.6980 and around the bearish channel support and resistance.

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 recently raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US President Trump will speak at 1100 UTC today. This is followed by US Crude Oil Inventories at 1530 UTC.

USDCAD – 1 Hour Chart

The USDCAD continues to be choppy and indecisive. Price action has formed a horizontal channel at 1.3315-1.3350. Trading opportunities could exist around the horizontal channel support and resistance areas and if price moves out of the channel (break-out trade). The moving averages are bearish and are widening, suggesting that the USDCAD could become bearish. Selling opportunities may exist around the moving averages.

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 caused weakness to the Canadian Dollar. The US Federal Reserve recently raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US President Trump will speak at 1100 UTC today. This is followed by US Crude Oil Inventories at 1530 UTC. A Canadian Rate Announcement is set for 1500 UTC today. This is followed by a Bank of Canada Press Conference at 1615 UTC and a Bank of Canada Speech at 2115 UTC. Today could be a very volatile day for the Canadian dollar.

USDCHF – 1 Hour Chart

As suggested in yesterday’s chart analysis, price is currently retracing. Opportunities to go long could exist around any of the key Fib levels and around the horizontal levels at 1.0055, 1.0030 and 1.0010.

The US Federal Reserve recently 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%. US President Trump will speak at 1100 UTC today. This is followed by US Crude Oil Inventories at 1530 UTC.

USDJPY – 1 Hour Chart

Price has moved below the consolidation area and is below some key horizontal support levels, signalling that the USDJPY may now start down-trending. Shorting opportunities may exist around the previous horizontal support at 110.15 and 110.30 and around the dynamic resistance of the moving averages. The moving averages have crossed bearish and are widening, suggesting strengthening selling momentum.

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 recently raised interest rates to 1.00%. The US Dollar could continue to strengthen long-term, as further rate hikes are expected. US President Trump will speak at 1100 UTC today. This is followed by US Crude Oil Inventories at 1530 UTC.

XAUUSD – 1 Hour Chart

GOLD has been very bullish and has moved higher. Price has formed some higher swing highs and swing lows and is clearly up-trending. Buying opportunities may exist around any of the key Fib levels, around the previous swing high at 1266.45 and around the bullish moving averages. GOLD may stall or reverse around the recent swing high at 1277.30.

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