USDX (USD Index)
The U.S. dollar index moved up again and added to today’s gains. A higher swing high point was formed so that the current bullish trend has not stopped yet. In this situation, no short positions are recommended and traders can only wait for a bearish correction. When the index moves down to the support point, traders will observe whether there is a bullish bounce or not. If the bullish bounce occurs then the bullish trend will continue.
EUR/USD
EUR/USD dropped below 1.0650 now and continues to weaken. It seems that the pair will not reverse direction for now and traders should not enter long positions. If the pair does not immediately rise back above 1.0650 then the current bearish trend may continue deeper. Further decline and formation of a lower swing low will confirm the continuation of the bearish trend. If the pair moves up then the point 1.0650 can become a resistance point where a bearish bounce occurs.
Today’s critical levels to watch:
Support: 1.0650
Resistance: 1.0800, 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD fell and reached 1.2200 today. The pair does not show any indication of a bullish reversal so traders should not enter long positions with large amounts. When the pair can bounce up strongly and close above the daily SMA 200 then the situation can become bullish again. For now, traders should watch for further reaction near the support point.
Today’s critical levels to watch:
Support: 1.2200
Resistance: 1.2625, 1.2800, 1.3000, 1.3250, 1.3300, 1.3330
USD/JPY
USD/JPY continues its strengthening above 147.00 towards 150.00. If there is no change, the pair will be able to reach the resistance point in the near future. Traders who still have long positions will maintain those positions for now. If a bearish correction occurs then 145.00 – 147.00 is the area to watch for bullish reactions.
Today’s critical levels to watch:
Support: 145.00, 141.00, 140.00, 139.30, 137.70, 133.00
Resistance: 147.00
AUD/USD
AUD/USD was rejected from 0.6500 and moved lower. However, there is no continuation of the bearish movement below last week’s low for now. The pair is still consolidating within Friday’s movement range. Will the pair continue its bearish movement by forming a lower swing low point? Or will the pair manage to rise again and close above 0.6500? Traders will continue waiting sideline for now.
Today’s critical levels to watch:
Support:
Resistance: 0.6500, 0.6700, 0.6750, 0.6820, 0.7000