USDX (USD Index)
The bullish reversal happened in the U.S. dollar index as it moved upward to target the 102.00 level. In the medium-long term, we think the index will continue the bearish movement and target the level below 100.00. At the current time, traders will wait until the index reaches 102.00 and produce bearish reactions to enter short positions in U.S. dollar.
EUR/USD
EUR/USD was mostly lower after the bearish rejection from 1.1185. The pair is moving lower and will target the 1.1000 support level where a bullish reaction might happen. Traders will wait near the level for bullish reactions and a chance to enter long positions. Even though the pair managed to reach 1.0900, we could regard the bearish movement as a normal correction.
Today’s critical levels to watch:
Support: 1.1120, 1.1000, 1.0900, 1.0800
Resistance: 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD started moving lower from the 1.3250 resistance level and will reach the 1.3125 support level soon. There is more room for bearish movement toward the 1.3000 – 1.3050. Traders will observe the pair reactions near the support levels for a chance to enter long positions. As the long-term trend is still bullish, traders better avoid shorting the pair unless for the highly speculative plan.
Today’s critical levels to watch:
Support: 1.3125, 1.3050, 1.3000
Resistance: 1.3250
USD/JPY
USD/JPY is trading upward above the 145.00 level and will attempt to extend the bullish movement to test 147.00. If the pair manages to stage a bullish rally then 150.00 and the daily SMA 200 are the bullish targets to watch. In the long term, we think the pair could resume the bearish trend to target a new lower swing low on the daily chart.
Today’s critical levels to watch:
Support: 142.00, 141.00
Resistance: 145.00, 147.00, 150.00, 155.00
AUD/USD
AUD/USD keeps testing the 0.6820 resistance level and there is no major bearish reactions yet. The pair might turn lower as the U.S. dollar index starts moving upward but it is not mandatory. If the pair starts a bearish correction then traders could wait near 0.6750, and 0.6700 for bullish reactions. When there is bullish reactions, traders could enter long positions.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500
Resistance: 0.6820, 0.7000