USDX (USD Index)
The index finally breaks loose above 97.50 and print fresh yearly high. We could expect the bullish continuation toward 100.00. At the current time, traders better wait for a bearish correction to enter a long position in U.S dollar.
News to watch
08.30 U.S Core Durable Goods Orders m/m, forecast 0.2%
For full outlook for this week, you can follow Forex Outlook For The Week 22-26 April 2019
Technical Analysis
EUR/USD
The pair fell below 1.1185 and print fresh yearly low mirroring U.S dollar index. Under the current situation, the pair might continue moving down until it reaches 1.1120. Traders could prepare for a possible technical bounce from 1.1120. On the upside, 1.1185 is the level to look for short positions.
today critical levels to watch:
Support: 1.1185, 1.1120
Resistance: 1.1200, 1.1300, 1.1360, 1.1400
GBP/USD
The direction of GBP/USD is downward and no change to the forecast. We think the pair will reach 1.2800 before any bounce possible. However, if the pair reverse to the upside, traders could look for short positions near the red trendline. On the other hand, if the pair could produce a strong bullish pattern near 1.2800 then it is possible to enter short-term long positions.
Today Critical level to watch:
Support: 1.2800
Resistance: 1.3000, 1.3125, 1.3250
USD/JPY
USD/JPY finally manage to break out above 112.00 following the strength in U.S dollar index. The pair currently testing the breakout point and looking to maintain the position above it. If USD/JPY could maintain the position above 112.00 then traders could expect the pair to trade between 112.00 – 112.50 until the end of the week.
Today critical levels to watch:
Support: 112.00, 111.00, 110.50, 110.00
Resistance: 112.50, 112.14, 112.50
AUD/USD
The bearish pressure in AUD/USD doubled in the previous day and manage to push the pair down to close near 0.7000. AUD/USD bearish pressure might stall near the support level for several days with a bearish bias. Traders better avoid long positions at least until a strong bullish pattern formed.
We have the bottom of the channel as a downside target.
Today critical levels to watch:
Support: 0.7000
Resistance: 0.7080, 0.7160, 0.7200