USDX (USD Index)
U.S dollar index mostly flat today which is as expected. The index moved a little after the release of U.S. PPI data. Traders will wait the release of CPI data tomorrow and prepare for FOMC meeting next week. The sideways situation might continue, and the actual movement might happen next week. Watching closely the data released this week is the things traders will do. PPI data came out lower than expected. If CPI data also turn lower, then we might see a rally in the global market and U.S. dollar index will finally resume the bearish trend.
EUR/USD
EUR/USD slightly lower below the 1.1710 level today but no major movement. Similar to the U.S dollar index, traders are waiting for more inflation data release this week. We might see EUR/USD continue trading between 1.1710 – 1.1820 area. If the pair turn lower again, then the 1.1580 level is the support level to watch.
Today’s critical levels to watch:
Support: 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1710, 1.1820
GBP/USD
GBP/USD wicking to the upside for two days which mean the resistance level guarded. The pair is inside the 1.3450 – 1.3600 area for now and will continue the ranging movement. Traders will wait until the pair breakout and close outside the range to confirm the next direction.
Today’s critical levels to watch:
Support: 1.3450, 1.3330, 1.3300, 1.3250, 1.3125, 1.3050, 1.3000
Resistance: 1.3600, 1.3800, 1.4000
USD/JPY
USD/JPY maintain the sideways situation which mean no change to outlook. We will continue waiting for the pair to make a movement and close with strong momentum to confirm the next direction. On the upside, the daily SMA 200 is the nearest resistance level to watch.
Today’s critical levels to watch:
Support: 145.00, 142.00,
Resistance: 149.20, 150.00, 151.00
AUD/USD
AUD/USD moving upward smoothly and soon will reach the top trend line. Traders who enter long positions might want to take partial profit near the trend line while expecting the pair to continue the movement toward 0.6700 – 0.6750. The broadening pattern is respected, and a major bearish rejection could be a sign for the pair to start moving lower again. (Current situation is bullish, shorting not suggested until there is strong bearish reversal).
Today’s critical levels to watch:
Support: 0.6350, 0.6250, 0.6000
Resistance: 0.6500, 0.6700