USDX (USD Index)
U.S dollar index bearish correction has not reached the level near 105.00 yet. The index might consolidate near the current level until this week’s FOMC meeting. Traders will observe closely the FOMC meeting result and the Fed guidance for the next policies. We think the index will resume the bullish trend and target a new higher high.
EUR/USD
EUR/USD bullish correction toward the 1.0339 resistance level halted before it could reach the level. At the current time, the pair might consolidate near the current level and wait for further reaction. We still think the pair will continue the bearish movement and trigger a breakout below the parity level before it starts moving upward.
Today’s critical levels to watch:
Support: 1.0000
Resistance: 1.0339, 1.0650, 1.0800, 1.0900
GBP/USD
GBP/USD is mostly sideways near the 1.2000 – 1.2200 area. The pair could not print further bullish close above the 1.2000 level. Traders will wait for a further reaction from the level for now as the market prepare for the FOMC meeting this week. A bearish rejection from the area will confirm a bearish continuation.
On the other hand, a close above 1.2200 after the interest-rate announcement will become bullish confirmation.
Today’s critical levels to watch:
Support: 1.1450
Resistance: 1.2000, 1.2100, 1.2200
USD/JPY
USD/JPY undergo a bearish correction from the top and printed a bearish close last week. There is no bearish follow-through in today’s trading session yet. Traders will wait near the support level and until the bearish pressure receded before entering long positions. It might be better to wait until the announcement of the Fed interest rate before entering positions.
Today’s critical levels to watch:
Support: 135.19, 135.00
Resistance:
AUD/USD
AUD/USD upward movement has not reached the 0.7000 resistance level yet. The pair was slightly lower after testing the level near it last week. At the current time, there is bearish pressure but the pair maintains the positions inside Friday’s range. Will the pair continue moving upward and break out above 0.7000 to continue the bullish movement? Alternatively, will it resume the bearish movement and target a new lower low on the chart?
Today’s critical levels to watch:
Support: 0.6820, 0.6750, 0.6700
Resistance: 0.7000, 0.7160, 0.7300