USDX (USD Index)
U.S dollar index has reached the 110.00 bearish correction target yesterday. The index might consolidate near the level for now while waiting for further reactions. If the index could bounce from the level then traders will expect a long-term continuation of the bullish trend. On the other hand, if the index closed below the level then we might see a deeper bearish movement toward 107.50.
EUR/USD
EUR/USD close above the parity level which means the pair could continue moving upward to the target 1.0339 resistance level. Traders will continue to assume the trend will continue bearish as long as there is no change in the Fed’s stance on the interest rates. If the pair closes below the parity level again then we might see a bearish continuation to target 0.9500.
Today’s critical levels to watch:
Support: 0.9500
Resistance: 1.0000, 1.0339
GBP/USD
GBP/USD closed above the 1.1450 resistance level. The pair finally will continue the upward movement to target the 1.2000 – 1.2200 area. Traders will wait near the 1.2000 – 1.2200 area for a chance to enter short positions when there are major bearish reactions. Aside from the area, traders will take note of the daily SMA 200 resistance level too.
Today’s critical levels to watch:
Support: 1.0500, 1.0000
Resistance: 1.1450, 1.2000, 1.2100, 1.2200
USD/JPY
USD/JPY started a bearish correction and reached the 145.00 level. The pair show bullish reactions which might confirm a bullish continuation. Traders will monitor the pair reactions between the 145.00 – 150.00 area for now. A breakout and close outside of the area will confirm the next direction.
Today’s critical levels to watch:
Support: 140.00, 139.30, 135.19, 135.00
Resistance: 150.00
AUD/USD
AUD/USD closed near the 0.6500 resistance level or the first target of the current bullish movement. On the upside, the pair will target the 0.6700 resistance level next. If the pair form a major bearish reaction from both resistance levels then traders could enter short positions.
Today’s critical levels to watch:
Support: 0.6000
Resistance: 0.6500, 0.6700, 0.6750, 0.6820, 0.7000