USDX (USD Index)
The movement of the U.S. dollar index is bearish and will continue toward the 100.00 handles. There is no strong reason to enter long positions in the U.S. dollar except that it is near a support level. However, from the fundamental view, the direction of the index will continue bearish as traders and investors think that the Fed has no more room to raise the interest rates. Each bullish correction in the index is a chance for traders to enter short positions in the U.S. dollar at a higher level.
EUR/USD
EUR/USD resumes the bullish movement above the 1.0900 level and soon will reach the 1.1000 resistance level. If the pair could close above the 1.1000 level then it will confirm a long-term bullish continuation. When the pair started moving lower, traders could use the 1.0800, and 1.0900 levels as a place to enter long positions.
Today’s critical levels to watch:
Support: 1.0650, 1.0339, 1.0000, 0.9500
Resistance: 1.0800, 1.0900, 1.1000
GBP/USD
GBP/USD manage to print a new higher high and is expected to continue the upward movement to reach 1.2625 and 1.2800 resistance levels. Traders who have long positions will continue to hold the positions and move stop above the daily SMA 200. When the pair reach the resistance level and start moving lower, traders could use the previous swing high as the support level.
Today’s critical levels to watch:
Support: 1.2100, 1.2000, 1.1450
Resistance: 1.2200, 1.2625, 1.2800
USD/JPY
USD/JPY is under bearish pressure for two days. The pair bearish movement has moderate momentum and currently testing the green box area. If the pair could close below the area and form a new lower low then the bearish trend will continue. On the other hand, if the pair manages to bounce and move higher then it will target the daily SMA 200.
Today’s critical levels to watch:
Support: 133.00, 130.00, 125.00
Resistance: 137.70
AUD/USD
AUD/USD closed above the daily SMA 200 which means the trend has turned bullish. At the current time, the pair make a bearish retest on the daily SMA 200 where traders could enter long positions. As long as there is no close below the averages and a new lower low then the bullish trend will be maintained. However, if the pair manage to print a new lower low below the daily SMA 200 then the bearish trend will continue toward 0.6500.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000