USDX (USD Index)
U.S dollar index is on the path lower to target the 100.00 support level. There is no change of direction and traders who have short positions in U.S. dollar will continue to hold the positions for now. If the index starts moving upward then it is a chance for traders to enter short positions in the U.S. dollar at a higher level. On the lower side, we think a bounce might happen when the index reaches the 100.00 level before further weakness.
EUR/USD
EUR/USD extended the bullish movement above the 1.0900 level and set to target the 1.1000 resistance level. When the pair close above the 1.1000 level then the bullish trend will be confirmed for the long term. Traders could use each bearish correction for a chance to enter long positions in EUR/USD near the support level.
Today’s critical levels to watch:
Support: 1.0800, 1.0650, 1.0339
Resistance: 1.0900, 1.1000
GBP/USD
GBP/USD has printed a new higher high and will target the 1.2625 and 1.2800 resistance levels next. If the pair start a bearish correction then traders could use the chance to enter long positions at a lower level. As long as the pair continue printing a new higher high and higher low then there is no reason for traders to enter short positions.
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 and trading near the green box area. The pair might continue consolidating near the level while waiting for further reactions. We think the pair could continue the bearish movement and will target a new lower low. However, if the pair manages to bounce 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 trend has turned bullish after the close above the daily SMA 200. However, the pair is currently under bearish pressure and falling below the average. We think the pair will start another bullish leg and leave the 0.6750 resistance level to trade higher. Traders will continue accumulating long positions with stops below the previous swing low.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000