TriumphFX Intraday Forex Analysis – 1 Hour Charts – August 28, 2018

AUDUSD – 1 Hour Chart

Price continues to be indecisive. The moving averages have been crossing frequently and are moving sideways – confirming the market indecision. Trading opportunities could exist around the identified horizontal levels at 0.7210, 0.7240, 0.7305, 0.7355 and 0.7380.

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.  Recent inflation forecasts were worse than expected, weakening the AUD. 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.

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

EURGBP – 1 Hour Chart

As suggested in yesterday’s chart analysis, price has swung higher and continues to uptrend. Price action has formed a bullish channel and the moving averages are bullish and widening, all signalling that the upside momentum could continue. Buying opportunities may exist around the channel support area, around the bullish moving averages and around the horizontal levels at 0.9055, 0.9030 and 0.9020. A swing higher could be rejected or reverse around the channel resistance area.

Recent economic indicators for the UK have been positive – giving strength to the GBP. The Bank of England (BOE) recently increased the base interest rate by 0.25%. The economic outlook for the near future is “modest”. Political indecision over the Brexit plan and uncertainty over the future of the UK’s trade deals is weakening the GBP. 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.

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

EURUSD – 1 Hour Chart 

The EURUSD found support around the trend support area and has since swung higher (as suggested in yesterday’s chart analysis). Price continues to be bullish and uptrend. The moving averages are bullish and widening, signalling that the uptrend may continue. Long opportunities could exist around the dynamic support of the moving averages, around the trend support area and around the horizontal levels at 1.1645, 1.1620, 1.1600 and 1.1535. The EURUSD may continue to find resistance around the horizontal level at 1.1690.

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. 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 economy boom will slow-down and that an interest rate hike is not in the near future.

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

GBPUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, the GBPUSD found support around the diagonal support area. Price continues to be indecisive and lack trend momentum. The moving averages confirm this – they are tight and are moving sideways. Trading opportunities may exist around the diagonal support area and around the horizontal levels at 1.2805, 1.2830, 1.2900 and 1.2930.

Recent economic indicators for the UK have been positive – giving strength to the GBP. The Bank of England (BOE) recently increased the base interest rate by 0.25%. The economic outlook for the near future is “modest”. Political indecision over the Brexit plan and uncertainty over the future of the UK’s trade deals is weakening the GBP. 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.

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

NZDUSD – 1 Hour Chart

Price has found resistance around the horizontal resistance at 0.6710 (as suggested in yesterday’s chart analysis). Just like other USD pairs, the NZDUSD continues to be indecisive. The moving averages have been crossing frequently and are moving sideways – confirming the current indecision. Trading opportunities could exist around the moving averages and around the horizontal levels at 0.6605, 0.6625, 0.6670 and 0.6710.

The Reserve Bank of New Zealand (RBNZ) recently kept rates at 1.75% and announced that there will unlikely be a rate hike in the foreseeable future – the economy is looking balanced and a drop in NZD price is desirable in order to boost exports. 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.

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

USDCAD – 1 Hour Chart

Price has been bearish. The USDCAD is below the recent consolidation area and the moving averages have just crossed bearish, all suggesting that price could start down-trending. Price action has also formed a bearish channel. Opportunities to go short may exist around the previous horizontal support levels at 1.2985 and 1.3005, around the dynamic resistance of the moving averages and around the channel resistance area. The USDCAD could find support around the channel support area.

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.

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

USDCHF – 1 Hour Chart

As suggested in yesterday’s chart analysis, the USDCHF closed below the range support area and has since been bearish. Price action has formed a series of lower swing lows and lower swing highs – the USDCHF is down-trending. The moving averages are bearish and widening, signalling that the downtrend may continue. Shorting opportunities could exist around any of the key Fib levels, around the bearish moving averages and around the horizontal levels at 0.9810, 0.9820 and 0.9865. Price may continue to find support around 0.9790.

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. The bearish stock markets may give strength to the Swiss Franc as the CHF is a safe-haven currency. The concern of a potential tariff war between the US and China may also give strength to the CHF.

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

USDJPY – 1 Hour Chart 

The USDJPY continues to be in a retrace phase. The moving averages are bullish, suggesting that price may swing higher. Long opportunities could exist around the previous horizontal resistance levels at 111.00, 110.65 and 110.50, around any of the key Fib levels and around the dynamic support of the moving averages. A bullish move may stall or reverse around the horizontal resistance at 111.50.

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. Due to the recent plunge in global stock markets, the Yen (safe haven currency) has seen added strength. If stock markets become bearish, the Yen may continue to strength. The concern of a potential tariff war between the US and China may also give strength to the Yen. The Bank of Japan (BOJ) has not changed the official interest rate since early 2016. Economic indicators for Japan continue to show signs of moderate growth.

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

XAUUSD – 1 Hour Chart

As suggested in yesterday’s chart analysis, price found support around the horizontal level at 1208.30 and has since been finding resistance around the bullish channel resistance area. GOLD continues to uptrend within a bullish channel. The moving averages are bullish and widening, signalling that the uptrend could continue. Buying opportunities may exist around the horizontal levels at 1208.30 and 1199.35, around the bullish moving averages and around the channel support area. GOLD could find resistance around the channel resistance area and around the horizontal resistance at 1216.40.

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