USDX (USD Index)
U.S dollar index made a major bearish breakout below the daily SMA 200. The bearish movement also has strong momentum, which could extend to the previous swing low. On the upside, if the index makes a bullish recover, then the daily SMA 200 and the Fibonacci Retracement levels will become the resistance level to watch. Under the current situation, traders will assume the trend will continue bearish, especially if the index manages to print a new lower swing low.
EUR/USD
EUR/USD closed above the daily SMA 200 with strong bullish momentum. This movement triggered by weakness in U.S. dollar index. It seems the market are scrambling around on President Trump tariff announcement, which could become an A or B anytime. Under current situation, it is better following the fact that EUR/USD has climbed above daily SMA 200, print new higher swing high. If the pair make a bearish correction toward the daily SMA 200 or the 1.0650 level, then traders could use it as a chance to add long positions.
Today’s critical levels to watch:
Support: 1.0650, 1.0500, 1.0339
Resistance: 1.0800
GBP/USD
GBP/USD printed a new higher swing high and climbed above the 1.2800 level. The pair is on the path toward 1.3000 resistance level next. If the pair start a bearish correction, then 1.2625 and daily SMA 200 are the support levels to watch for bullish reactions. The trend has officially turned bullish and now as long as the pair stay above daily SMA 200 or 1.2625, it will continue to stay bullish.
Today’s critical levels to watch:
Support: 1.2800, 1.2625, 1.2200
Resistance: 1.3000
USD/JPY
USD/JPY resume the bearish movement and print new lower low today. The pair might easily break out below 147.43 level. However, tariff announcement could produce any result and there is job data release tomorrow. Traders will maintain bearish outlook on the pair while stay cautious on sudden surprise.
Today’s critical levels to watch:
Support: 149.20
Resistance: 150.00, 151.00, 151.80
AUD/USD
AUD/USD turning upward and printed new higher swing low. The pair will attempt to extend the bullish movement and print a new higher swing high. On the upside, 0.6500 and daily SMA 200 are the targets to watch. A close above daily SMA 200 will confirm trend reversal from bearish to bullish.
Today’s critical levels to watch:
Support: 0.6250, 0.6000
Resistance: 0.6350, 0.6500, 0.6700