USDX (USD Index)

The bullish reaction in the U.S dollar index has entered the third day. The index currently moves upward with moderate bullish momentum and might start a bullish correction toward 92.00 – 93.00. In the long-term, the index is expected to continue its weakness and target 88.80 and 88.25.

Meanwhile, traders could stay sideline or trade the bullish reaction with a short-term time-frame.

EUR/USD

EUR/USD has fallen below the 1.2200 support level today. The pair bearish movement resulted from the gain in the U.S dollar index. It seems the pair might continue lower to target the 1.2000 – 1.2070 area. When the pair reach the level and formed a major bullish reaction then traders could consider entering long positions.

today critical levels to watch:

Support: 1.2070, 1.2000

Resistance: 1.2200, 1.2300, 1.2500

GBP/USD

GBP/USD rejected from the 1.3600 resistance level and soon will reach the 1.3450 support level. The pair movement mostly ranging between 1.3450 – 1.3600 for now. If the pair breakout below 1.3450 then traders could use 1.3300 – 1.3330 as a support area to determine the next movement.

Today Critical level to watch:

Support: 1.3450, 1.3330, 1.3300

Resistance: 1.3600, 1.3835, 1.4000

USD/JPY

USD/JPY is on the verge of testing the top of the bearish channel. If the pair formed a major bearish reaction then traders will expect further bearish continuation inside the channel. At the current time, it is better to wait for the test and observe the reaction. Without a strong bearish reaction, it is better to not enter short positions yet.

Today critical levels to watch:

Support: 101.50, 101.19

Resistance: 104.00, 105.00, 106.00, 106.70

AUD/USD

The pair experience bearish pressure and started a correction toward the bullish channel. It is normal for the pair to reach the bottom of the channel, moreover the 0.7500 – 0.7550 area. Traders could use the moment to prepare for long positions near the support levels when there is a major bullish reaction.

Today critical levels to watch:

Support: 0.7700, 0.7640

Resistance: 0.7750, 0.7800