TriumphFX Inter-day Forex Analysis – Daily Charts – August 16, 2017


 

AUDUSD – Daily Chart

 

AUDUSD - 16.08.2017 - Daily

As suggested in our last inter-day chart analysis, price has started retracing the recent bullish swing and is nearing some potential bullish reversal areas. Buying opportunities could exist around the dynamic support of the moving averages, around the previous horizontal resistance at 0.7745, around any of the key Fib levels and around the identified trend support area. A move to the upside may stall or reverse around the recent high at 0.8000. The moving averages are bullish and are widening, suggesting that the AUDUSD could attempt a bullish move higher.

The Reserve Bank of Australia (RBA) 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. Recent Monetary Policy Minutes have detailed that the Australian economy is improving. The US Federal Reserve rate recently increased rates to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

 

EURGBP – Daily Chart

 

EURGBP - 16.08.2017 - Daily

The EURGBP has continued to be bullish and has moved above the recent range resistance at 0.9050 (as suggested in our last inter-day chart analysis). The moving averages are bullish and are steady and price action has formed a bullish channel, all suggesting that the upside momentum could continue. Long opportunities may exist around the previous horizontal resistance levels at 0.9040, 0.8845 and 0.8785, around the bullish channel support area and around the bullish moving averages. The EURGBP could stall or reverse around the channel resistance area.

The UK has started negotiations for leaving the European Union. Brexit and political uncertain in the UK are causing weakness in sterling. Recent economic indicators for the UK are suggesting an unexpected slow-down but the Bank of England have an increased favour for increasing interest rates – creating more optimism and strength for 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. This has caused added strength for the Euro.

 

EURUSD – Daily Chart

 

EURUSD - 16.08.2017 - Daily

As suggested in our last inter-day chart analysis, the EURUSD has reversed bearish around the bullish channel resistance area. Price has been up-trending within a bullish channel and has formed a number of bullish swings higher. The EURUSD is now retracing. The moving averages are bullish and are steady, suggesting that the uptrend may continue. Opportunities to go long could exist around the bullish channel support area, around the moving averages and around the horizontal levels at 1.1440 and 1.1345. Price could stall or reverse around the channel resistance area and around the recent high at 1.1880.

The US Federal Reserve rate recently increased rates to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken. 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. This has caused added strength for the Euro.

 

USDCAD – Daily Chart

 

USDCAD - 16.08.2017 - Daily]

Price has been bullish and has been retracing some of the recent bearish move. The recent sell-off has been very strong and the moving averages are bearish and are widening, all signalling that the USDCAD may start down-trending. Selling opportunities could exist around the previous horizontal support levels at 1.2770, 1.3015 and 1.3200, around any of the key Fib levels and around the bearish moving averages.

The Bank of Canada recently raised rates to 0.75%. The US Federal Reserve rate recently increased rates to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

 

USDJPY – Daily Chart

 

USDJPY - 16.08.2017 - Daily

The USDJPY continues to be indecisive and is consolidating within a symmetrical triangle and a horizontal channel at 108.30-114.40. The moving averages confirm the market indecision – they are moving sideways and are tight. Trading opportunities may exist around either consolidation pattern support and resistance areas and if price moves out of either pattern (break-out trade).

The Bank of Japan have kept interest rates at a low of -0.10%. The Yen is a safe-haven currency, which means it could strengthen if political uncertainty in the US or Europe intensify or if the possibility of war between the US and North Korea starts to solidify, though war between these 2 countries may have a negative impact on the JPY due to Japan’s geographical location and history with North Korea. The US Federal Reserve rate recently increased rates to 1.25%. Another rate hike is expected by the end of the calendar year. If political uncertainties intensify in the US or if tensions between the US and North Korea escalate, the US Dollar could weaken.

 

XAUUSD – Daily Chart

 

 

XAUUSD - 16.08.2017 - Daily

As suggested in our last inter-day chart analysis, GOLD has moved off the range support and resistance areas. Price continues to be indecisive and range between the horizontal support at 1211.65 and the horizontal resistance at 1294.50. The moving averages are moving sideways and are tight – confirming the current market indecision. Trading opportunities may exist around the range support and resistance areas and if GOLD moves out of the range (break-out trade).