USDX (USD Index)
The U.S. dollar index attempted to rebound today but remains firmly below the key 100.00 resistance level. The overall structure is still bearish after yesterday’s breakdown to a new lower swing low. Any upside movement is still considered a pullback unless price erased all the loss. We expect the start of bearish movement as FOMC meeting event is next week, which could become the catalyst of bearish continuation.
EUR/USD
EUR/USD slightly lower after yesterday’s strong rally. The pair remains bullish above 1.1580, and traders expect a clean test of 1.1710 soon. FOMC meeting next week may cause volatility, but until then, USD weakness continues to favor EUR/USD upside. On the lower side, a close below 1.1500 will cancel the bullish outlook.
Today’s critical levels to watch:
Support: 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1710, 1.1820
GBP/USD
GBP/USD remains strong above the daily SMA 200 and continues to hold its bullish breakout above 1.3250. Today’s candle shows a healthy consolidation after the sharp rally. As long as price stays above 1.3250, the pair is poised to advance toward 1.3450 next. If there is bearish correction toward 1.3250, then traders could use it as a chance to add long positions.
Today’s critical levels to watch:
Support: 1.3250, 1.3125, 1.3050, 1.3000
Resistance: 1.3300, 1.3330, 1.3450
USD/JPY
USD/JPY continues to drift lower, inching closer to the important support zone near 153.98 – 154.70 (green box). The broader trend is still bullish, but momentum is weakening. Reactions inside the green box will determine whether the pair resumes upward movement or enters deeper correction. If buyers fail to appear, the next supports at 151.60 and 150.00 come into play.
Today’s critical levels to watch:
Support: 155.00, 153.00, 151.00
Resistance: 158.89, 160.00
AUD/USD
AUD/USD pushed slightly higher again today, continuing its bullish momentum. The pair printed higher swing high and now expected to continue the bullish movement to target 0.6700. A corrective pullback toward 0.6560 or the previous breakout zone may provide buying opportunities.
Today’s critical levels to watch:
Support: 0.6500, 0.6350, 0.6250, 0.6000
Resistance: 0.6700