USDX (USD Index)
U.S dollar index slipped after the Fed announced interest-rate hike as expected Yesterday. The index is not taking a long time to find support as it bounces from flip level shown on the chart. If the bull could press upward and close the week above 94.00, it will produce a new bullish leg.
News to watch
For full outlook for this week, you can follow Forex Outlook For The Week 11 – 15 Dec 2017
Technical Analysis
EUR/USD
EUR/USD might be under major test as the pair could not secure decisive move above 1.1820. The pair reversed its direction today after ECB hold interest-rate steady. Despite the hawkish comment from ECB president Mario Draghi on inflation, the market decides to flee from Euro.
The day has not closed yet, and a bearish move from current level might create a shoulder-head-shoulder pattern which could lead EUR/USD down below 1.1710.
Today critical level to watch:
Support: 1.1710, 1.1650
Resistance: 1.1820, 1.1850, 1.1925, 1.2000
GBP/USD
No major change in GBP/USD outlook yet, the pair continue its movement between 1.3300 – 1.3450. There is rejection from the top of range today. The price has not closed yet and the market still crunching U.S data and today interest-rate decision. GBP/USD might see some action after London market close.
Today critical level to watch:
Support: 1.3400, 1.3342, 1.3300, 1.3250
Resistance: 1.3450, 1.3500
USD/JPY
The climb on USD/JPY chart might not finish yet. The pair found support at 112.50 which contained previous day selling. The sky is clear as BOE and ECB have announced their interest-rate and future projection. If USD/JPY continues its uptrend, it might move inside the bullish channel shown on the chart.
A break below 112.50 is clear sign for the bull to stay away from USD/JPY.
Today critical level to watch:
Support: 112.50, 112.00, 111.60
Resistance: 113.20, 114.50
AUD/USD
AUD/USD bounced from 0.7500 – 0.7550 area and closed near the top of the range at 0.7640. The pair continues its upward movement today and almost touched the daily SMA 200. Without any change to the trend, AUD/USD should test the averages soon. On the other hand, a close below 0.7640 will produce false break and trigger further selling.
Today critical level to watch:
Support: 0.7630, 0.7550, 0.7500
Resistance: 0.7690