USDX (USD Index)
The U.S. dollar index soared today after the release of higher-than-expected CPI data. Inflation rates are still high and this causes market players to suspect that there will still be an increase in interest rates to fight inflation. The bearish correction did not reach the expected support point so currently traders will wait for further developments. Traders should still avoid short positions on the U.S. dollar.
EUR/USD
EUR/USD bounced down before reaching 1.0650. It can be said that a bearish reaction has occurred and now the pair will move down to test the point near 1.0500. If a bearish breakout occurs and the pair forms a lower swing low point then the bearish movement will continue.
Today’s critical levels to watch:
Support: 1.0500
Resistance: 1.0650, 1.0800, 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD has risen above the 1.2000 – 1.2200 area and has the opportunity to continue its strengthening towards the daily SMA 200. However, currently, the pair has been pushed down near the 1.2000 – 1.2200 area again. If the pair can bounce up strongly then there is a chance of continuation of the bullish movement. Conversely, if the pair moves down below 1.2000 and forms a lower swing low point then the bearish movement will continue.
Today’s critical levels to watch:
Support: 1.2100, 1.2000
Resistance: 1.2200, 1.2625, 1.2800
USD/JPY
USD/JPY moved up again and tested the 150.00 point. There has been no change in the situation of the pair bullish trend and the formation of a higher swing high point will confirm the continuation of the bullish movement. For now, traders will wait for the formation of a higher swing high point or a decline to 145.00 for confirmation of the next direction.
Today’s critical levels to watch:
Support: 147.00, 145.00, 141.00
Resistance: 150.00
AUD/USD
AUD/USD fell sharply in today’s trading so the situation may become bearish again. The pair failed to continue the upward movement reaching 0.6500. Currently, the situation will continue to be bearish so traders should not consider entering a long position. Unless, if the pair can bounce up without forming a lower swing low point then there is still a chance of a bullish reversal.
Today’s critical levels to watch:
Support: 0.6170, 0.6000
Resistance: 0.6500, 0.6700, 0.6750, 0.6820, 0.7000