USDX (USD Index)
U.S dollar index halted its drop and moving upward for two days. It happens before the release of U.S. CPI data this week which expected to record increase compared to previous report. If inflation number continue to increase, then it will hinder the Fed from cutting interest-rate. Traders will wait the release of the data and determine the index direction after that. If the index climb and close above 100.00, then the trend could turn bullish.
EUR/USD
EUR/USD is moving between 1.1580 – 1.1710 where in the latest movement the pair formed a lower swing low and lower swing high. If the pair turn lower sharply and form another lower swing low, then we might be under risk of bearish reversal. However, if the pair climb and form a new higher swing high, then it will confirm the continuation of bullish trend.
Today’s critical levels to watch:
Support: 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1710, 1.1820
GBP/USD
GBP/USD upward movement looks stalled at the 1.3450 and near the bearish trend line. The pair seems will stick near both levels before the release of U.S CPI data. After the data release, we will get reactions, either the pair breakout higher or get rejected and resume the bearish movement. On the lower side, the pair might target the daily SMA 200 if it continues the bearish movement. On the upside, a breakout above the trend line could bring the pair up to target a new higher swing high.
Today’s critical levels to watch:
Support: 1.3330, 1.3300, 1.3250, 1.3125, 1.3050, 1.3000
Resistance: 1.3450, 1.3600, 1.3800, 1.4000
USD/JPY
USD/JPY might be lower, but no new lower swing low printed yet. The pair found support at the bottom of the green box area and now might attempt to bounce upward. On the upside, as we mentioned, a close above the box area is confirmation of bullish continuation. On the lower side, a new lower swing low will confirm the continuation of bearish trend.
Today’s critical levels to watch:
Support: 145.00, 142.00,
Resistance: 149.20, 150.00, 151.00
AUD/USD
AUD/USD trading near the 0.6500 level after the breakout. The pair will attempt to bounce upward and continue the bullish movement to target the top of the broadening pattern. This week, U.S. CPI data could become the trigger of next movement. Whether the pair will continue upward or turn lower again to target the daily SMA 200.
Today’s critical levels to watch:
Support: 0.6350, 0.6250, 0.6000
Resistance: 0.6500, 0.6700