USDX (USD Index)

There is no prospect for bounce yet in the index as it continues moving lower each this week. However, the unchanged situation on the bearish trend might reverse today after the market digest Non-farm employment data release. Meanwhile, bull traders and bear traders just need to keep watch the data release and reaction. The bull needs a close above 93.00 while the bear aims for 92.00.

News to watch

08.30 PM U.S Non-Farm Employment Change, estimate reading of 182k

U.S Unemployment Rate expected to lower 0.1% to 4.3% compared to previous month.

For full outlook for this week, you can follow Forex Outlook For The Week 31 July – 4 August 2017

Technical Analysis

EUR/USD

There is no change to EUR/USD analysis compared to previous day. The pair still hanging near the top and might continue higher or reversed before reach the Fibonacci magic number. Expect sideway movement before U.S job data release later today.

Today critical level to watch:

Support: 1.1800, 1.1775, 1.1712, 1.1700, 1.1642

Resistance: 1.1900, 1.1924

GBP/USD

GBP/USD printed bearish engulfing pattern, and the price tested this week opening level. Currently, the pair moves higher after it touches the weekly opening price and bounces from the trendline. BOE outlook is the sole reason for GBP retreat in the previous day.

The central bank revised down UK growth from 1.9% to 1.7% in 2017 and further down 0.1% to 1.6% for 2018. Uncertainties bloom as current inflation creep higher at 2.6% while growth slower than expected. Despite the outlook, it seems the Central Bank might need to raise soon to battle the inflation which means Pound might gain.

Today critical level to watch:

Support: 1.3124, 1.3070

Resistance: 1.3200, 1.3250, 1.3300

USD/JPY

USD/JPY had taken a downturn before the market closed Yesterday. The reversal put the bearish scenario in play and the price currently testing to break the low. A breakout might not happen until U.S job data later. Odds tilted for a lower breakout as U.S dollar index under pressure as Russia probe intensify. Meanwhile, 110.00 is the floor until U.S job data.

Today critical level to watch:

Support: 110.00, 109.00

Resistance: 110.50, 111.00, 111.64, 112.00

AUD/USD

AUD/USD stick inside 0.7875 – 0.7970 range but it did not make a deeper correction as expected. The shallow pair correction means the bull strength is strong and looking for a break above 0.8000. Depend on today job data, and the pair could either breakout higher above 0.8000 or stay inside 0.7875 – 0.7970 range.

Today critical level to watch:

Support: 0.7900, 0.7875, 0.7834, 0.7750

Resistance: 0.7970, 0.8000