USDX (USD Index)

No correction happen in U.S dollar index, and the bull continues to push the index higher today. There is nothing to do yet, and traders will observe the index reaction near 93.00 resistance. Will the index follow ranging scenario between 92.00 – 93.00 or continue break higher to 93.00 – 94.00 range?

News to watch

For full outlook for this week, you can follow Forex Outlook For The Week 7 – 11 May 2018

Technical Analysis

EUR/USD

The bull is in disadvantage without any higher close on the daily chart. The pair continues log lower close and risks further downside below 1.1925. If the bull could not close the pair above 1.1925 soon, then we think EUR/USD heading to next support 1.1820.

Today critical level to watch:

Support: 1.1820

Resistance: 1.1925, 1.2000, 1.2100, 1.2200

GBP/USD

Top of 1.3450 – 1.3600 range grazed today, and GBP/USD resume its weakness. The reversal has the opportunity to bring the pair down to 1.3450 as it bounces from the daily SMA 200. Will the bull return and cancel the bearish outlook? Traders will observe weekly price close to determine if continuation happen.

Today critical level to watch:

Support: 1.3450

Resistance: 1.3600, 1.3835, 1.4000, 1.4140

USD/JPY

USD/JPY is holding out above 109.00 for the second day and encourage bounce scenario. However, the pair currently sticks near the 109.00 support level and showing no intention of bouncing up. Long position at current level with tight stop might result in a profitable trade.

Today critical level to watch:

Support: 109.00, 108.00, 107.40, 107.00, 106.70

Resistance: 110.00, 110.50

AUD/USD

AUD/USD is at the crucial moment either for breakout or bounce. The pair is under heavy selling by the bear but manages to stick near 0.7500 support level. Depend on the close, and the trend will be determined by weekly close either above or below 0.7500.

Today critical level to watch:

Support: 0.7500

Resistance: 0.7550, 0.7600, 0.7640, 0.7690