USDX (USD Index)
The dollar index moved above the daily SMA 200 point ahead of the Fed’s interest rate announcement. The current situation is relatively bullish but could change drastically. Traders will now wait for the Fed’s announcement and the reaction afterward. If the index reverses direction and closes below the daily SMA 200 today then there is a chance of continuation of the bearish trend. However, the weekly close will be an important key to confirming the next direction of the move.
EUR/USD
EUR/USD is still experiencing bearish pressure near the daily SMA 200 point and will now wait for further reaction after the Fed’s announcement. If the pair can bounce up strongly and form a higher swing high point then the bullish trend can continue immediately. On the daily chart, currently, a triangle pattern is forming and the pair will wait for closure outside the area to confirm the next movement direction.
Today’s critical levels to watch:
Support: 1.0800, 1.0650, 1.0500
Resistance: 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD is in the middle of the range 1.2625 – 1.2800 and will now continue consolidating within it. The long-term trend of the pair is bullish so traders will wait for a bullish reaction at the support point for the opportunity to enter a long position. A close above 1.2800 could be a confirmation for the continuation of the bullish trend. Meanwhile, a close below the daily SMA 200 would be a bearish confirmation.
Today’s critical levels to watch:
Support: 1.2625, 1.2200, 1.2100, 1.2000
Resistance: 1.2800, 1.3000
USD/JPY
USD/JPY moved up sharply and managed to form a higher swing high point. This bullish situation was triggered by changes in BOJ policy where interest rates were finally raised and the bank abandoned its negative interest rate strategy. Technically, if the pair manages to exceed the high point in 2022 – 2023 then the bullish situation will continue. On the other hand, if a drastic reversal occurs and the pair plunges below the daily SMA 200 then the situation may change again.
Today’s critical levels to watch:
Support: 147.00, 145.00, 142.00, 141.00
Resistance: 150.00
AUD/USD
AUD/USD is holding above the 0.6500 level and no lower swing low has been formed. The pair will wait for the Fed’s announcement today to continue its decline or return above the daily SMA 200 point. If the pair manages to move up and close above the daily SMA 200 then the bullish situation can continue. However, if the pair still moves down and forms a lower swing low point then the bearish situation will continue.
Today’s critical levels to watch:
Support: 0.6500, 0.6350, 0.6170, 0.6000
Resistance: 0.6700, 0.6750, 0.6820, 0.7000