USDX (USD Index)
Bullish close on U.S dollar index daily chart sends the index back above 100.64. The index formed two similar low, but with a higher close. If the index continue lower, it will make another test of the two days low, but a move past 101.28 high will create opportunity for test of 102.00
News to watch
08.30 AM U.S Prelim GDP, estimated increase of 2.1% quarterly
10.00 AM U.S CB Consumer Confidence, consensus reading of 111.3
07.30 PM Australia GDP, estimated 0.7% increase quarterly.
08.45 PM China Caixin Manufacturing PMI, consensus reading of 50.9
09.00 PM President Trump Speaks
For full outlook for this week, you can follow Forex Outlook For The Week 27 – 3 March 2017
Technical Analysis
EUR/USD
The price of EUR/USD hovering in the middle zone of resistance 1.0590 and the trendline support. The price looks breakout of the blue bearish trendline, but no significant increase yet since the break. Will the price bounce higher or will it break lower below the trendline?
Today critical level to watch:
Support: 1.0562, 1.0513, 1.0500
Resistance: 1.0590, 1.0640, 1.0710, 1.0800
GBP/USD
Directionless but with a bullish bias, that is the current situation of GBP/USD. The price is moving back inside the triangle formation even though it already broke it in the past. The close either above 1.2550 or below 1.2388 needed to confirm next direction.
Today critical level to watch:
Support: 1.2400, 1.2380, 1.2333
Resistance: 1.2480, 1.2500, 1.2550, 1.2670, 1.2800
USD/JPY
After moving down and test the 112.50 support level, the price formed temporary bottom near it. USD/JPY might continue its movement inside the triangle range between the blue and red trendline. Traders will look for a breakout of the triangle before placing position.
Today critical level to watch:
Support: 112.00, 111.62, 110.50
Resistance: 112.56, 112.87, 114.00, 115.90, 117.52
AUD/USD
Similar to other major pairs which in consolidation, AUD/USD is also moving inside triangle range between 0.7660 – 0.7684. The breakout soon will happen, and traders could take advantage in the breakout direction.
Today critical level to watch:
Support: 0.7660, 0.7590, 0.7550, 0.7523
Resistance: 0.7688, 0.7730, 0.7748