USDX (USD Index)
U.S dollar index has broken above the daily SMA 200 and looks not losing bullish momentum yet. The index might continue the upward movement to target the bearish trendline. However, if the index immediately turns lower and closes below the daily SMA 200 and the end of the week then we might see a major bearish pattern formed. Traders will wait for further confirmation for now.
EUR/USD
EUR/USD pushed lower below 1.0800 yesterday which might indicate the continuation of a bearish trend. However, the pair recovered today and erased all of the losses incurred yesterday. If the bullish movement gains more momentum and we have a strong bullish pattern then traders could enter long positions. A close above the daily SMA 200 at the end of the week could become a major bullish confirmation to watch.
Today’s critical levels to watch:
Support: 1.0800
Resistance: 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD fell below 1.3000 and might extend the bearish movement toward the daily SMA 200. However, the bearish movement does not continue today as the pair make a recovery movement. Traders will wait for a close above 1.3000 to confirm a false breakout below 1.3000. When the pair return above 1.3000 before the end of the week, it will become a major bullish confirmation.
Today’s critical levels to watch:
Support: 1.3050, 1.3000
Resistance: 1.3250, 1.3300, 1.3450
USD/JPY
USD/JPY breakout and close above the daily SMA 200 yesterday. It seems a stop order triggered which could indicate the last stretch of bullish movement. At the current time, the pair is under bearish pressure near 151.80. If the pair make a major bearish close below the daily SMA 200 before the end of the week then the trend could turn bearish again.
Today’s critical levels to watch:
Support: 150.00, 147.00, 145.00, 142.00, 141.00
Resistance: 155.00
AUD/USD
AUD/USD bounced from the daily SMA 200 after yesterday’s bearish close. The pair recover part of the bearish movement and will attempt to extend the upward movement. If the pair could return above 0.6700 then there is a chance of a new bullish leg. At the current time, traders will continue to monitor the pair reactions near the daily SMA 200.
Today’s critical levels to watch:
Support: 0.6700, 0.6500
Resistance: 0.6750, 0.6820, 0.7000