USDX (USD Index)

U.S dollar index closed higher but not far from 98.30 resistance. The index slightly traded lower today but not far from 98.30 too. No clue on the next direction yet, will the index continue higher and close above the previous week high? Alternatively, will it start moving lower and target 96.70 again?

News to watch

04.00 AM ECB President Draghi Speaks

10.00 AM BOE Gov Carney Speaks

For full outlook for this week, you can follow Forex Outlook For The Week 17-21 June 2019

Technical Analysis

EUR/USD

EUR/USD closed higher in the previous trading day and currently attempting to reverse the bearish pressure. Although the pair could turn bullish, we think there is more room downward to test 1.1185 and 1.1120.

today critical levels to watch:

Support: 1.1200, 1.1185, 1.1120

Resistance: 1.1280, 1.1300, 1.1360

GBP/USD

GBP/USD extends its bearish move and distanced itself from 1.2625. The trend clearly bearish and no reason to place long positions. Traders better stick to the short side and enter a short position whenever bullish correction happen.

Today Critical level to watch:

Support: 1.2500

Resistance: 1.2625, 1.2800, 1.3000

USD/JPY

USD/JPY might be near the end of its consolidation. The pair could not print further higher high and today it is traded lower. Despite the bearish pressure, no breakout from the channel yet which mean traders must consider the possibility of a bounce. Traders could consider short positions when breakout below the channel happens.

Today critical levels to watch:

Support: 107.40, 107.00

Resistance: 108.50, 109.00, 109.70

AUD/USD

Similar to the previous day analysis, the pair is bearish and no reason to place long positions. At the current time, the pair has reached the bottom of the channel and might bounce from it. Short positions favored more than long positions. But, if a bullish pattern formed then traders could consider long positions from the bottom of the channel.

Today critical levels to watch:

Support: 0.6900

Resistance: 0.7000