USDX (USD Index)
The bullish pressure on the U.S dollar index continue and the index printed a new higher high. There is no change to the current bullish trend which means traders who have long positions in the U.S dollar will continue to hold the positions. If the index starts a bearish correction then 110.00 is the level to watch for reactions.
EUR/USD
EUR/USD is mostly bearish below the parity level and getting near the 0.9500 level. The pair is expected to maintain the bearish trend and continue printing new lower lows and lower highs. We think a bullish reversal might happen but it is not the time to turn bullish yet until the Fed shows a less hawkish stance.
Today’s critical levels to watch:
Support:
Resistance: 1.0000, 1.0339
GBP/USD
GBP/USD dropped after the announcement of the tax cut which is not accepted by the market. The pair might continue its bearish movement and target parity level, following the EUR/USD movement. If the pair starts moving upward then traders could use the moment to enter short positions near resistance levels.
Today’s critical levels to watch:
Support: 1.0500, 1.0000
Resistance: 1.1450, 1.2000, 1.2100, 1.2200
USD/JPY
USD/JPY climbing upward and set to target a new higher high on the chart. The pair bearish correction has been completed without touching the 139.30 support level. Traders who have long positions will continue to hold the positions, while traders who want to enter long positions will need to wait a bearish correction.
Today’s critical levels to watch:
Support: 140.00, 139.30, 135.19, 135.00
Resistance:
AUD/USD
AUD/USD closed below the 0.6500 support level which confirms further weakness in the pair. There is no bullish sign yet, but if the pair start moving upward then 0.6700 – 0.6750 is the area to watch for bearish reactions. Traders will continue to maintain a bearish outlook for now as long as the pair continue printing lower low and lower high.
Today’s critical levels to watch:
Support: 0.6750, 0.6700
Resistance: 0.6820, 0.7000, 0.7160, 0.7300