TriumphFX Inter-day Chart Analysis – Daily Charts – June 26, 2018
AUDUSD – Daily Chart
As suggested in our last inter-day chart analysis, the AUDUSD reversed around the previous diagonal support area and the shorter-term moving average. Price is down-trending within a bearish channel. The moving averages are bearish and widening, signalling that the downtrend could continue. Opportunities to go short may exist around the horizontal levels at 0.7450 and 0.7665, around the dynamic resistance of the moving averages and around the channel resistance area. A bearish move could stall or reverse around the horizontal support at 0.7340 and the channel support area.
The Reserve Bank of Australia (RBA) have held the official interest rate at 1.5% for over 18 months. The Australian economy continues to grow at a steady pace and produce positive economic indicators under the low interest rate – giving incentive to keep the rate as it is. The US Federal Open Market Committee (FOMC) recently raised rates to 2.00%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.
EURGBP – Daily Chart
The EURGBP continues to move within a bearish channel and be indecisive. Price action has formed a tight horizontal channel within the bearish channel, at 0.8695-0.8835. Trading opportunities could exist around the support and resistance areas of the horizontal channel and if the EURGBP moves out of the channel (break-out trade). Trading opportunities could also exist around the support and resistance areas of the bearish channel and around the identified horizontal levels at 0.8635, 0.8960, 0.9010 and 0.9260.
Recent economic indicators for the UK have been positive and Brexit negotiations seem to be progressing – giving strength to the GBP. The Bank of England recently increased the base interest rate by 0.25% and plan to increase rates again in the very near future. The ECB have announced that the economic future of the Euro-zone is looking more stable and that deflation and economic slow-down is low-risk – the euro-zone economy is performing well. Recent comments by the ECB have been fairly dovish though. Most economists believe that the current economic boom will slow-down and that an interest rate hike is not in the near future.
NZDUSD – Daily Chart
As suggested in our last inter-day chart analysis, price reversed around the horizontal level at 0.7050. The NZDUSD continues to be indecisive and lack clear trend momentum. Trading opportunities may exist around the identified horizontal levels at 0.6795, 0.6860, 0.7050, 0.7175, 0.7400 and 0.7525. The moving averages are bearish and widening, signalling that price could attempt a move lower.
The Reserve Bank of New Zealand (RBNZ) recently kept rates at 2.00% and announced that there will unlikely be a rate hike in the foreseeable future – there is some economic uncertainty caused by New Zealand’s GDP and CPI figures. The New Zealand Dollar continues to be attractive to currency investors due to the yield on carry trades. The US Federal Open Market Committee (FOMC) recently raised rates to 1.75%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.
USDCAD – Daily Chart
Price closed above the range resistance area and has since been bullish (as suggested in our last inter-day chart analysis). The USDCAD is up-trending. Price action has formed a potential bullish channel and the moving averages are bullish and widening, all signalling that the uptrend may continue. Buying opportunities could exist around the previous swing high at 1.3100, around the dynamic support of the moving averages and around the bullish channel support area. A move higher may be rejected or reverse around the channel resistance area and around the high at 1.3750.
The Bank of Canada (BOC) recently raised rates to 1.25%. A recent rally on the oil markets has given some strength to the Canadian Dollar. Economists believe that the BOC will increase the interest rate at least 1 more time before the end of 2018. The US Federal Open Market Committee (FOMC) recently raised rates to 2.00%. Recent employment and other economic data for the US has been very positive. This suggests that there could be further rate hikes in the near future. This has given strength to the US Dollar.
XAUUSD – Daily Chart
As suggested in our last inter-day chart analysis, GOLD reversed around the previous channel support area and around the longer-term moving average and has since been bearish. Price is now looking a little choppy and indecisive. Trading opportunities may exist around the moving averages, around the diagonal resistance area and around the horizontal levels at 1211.70, 1242.20, 1309.65 and 1356.20.
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