USDX (USD Index)
U.S dollar index extend the upward movement, printing new higher high which mean there is chance of continuation toward daily SMA 200. Overall, the trend is bearish, which mean traders will wait until the bullish correction completed to enter short positions in U.S dollar. On the upside, a new higher swing high will cancel the current bearish outlook.
EUR/USD
EUR/USD trading below the 1.1820 level but no bearish continuation below it. If the pair continue lower, then the 1.1710 level and the daily SMA 200 level is the support level to watch. A close below previous swing low 1.1580 will cancel the bullish outlook. Assuming the bullish trend will continue, buying between 1.1710 – 1.1820 is the strategy to take for now.
Today’s critical levels to watch:
Support: 1.1710, 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1820, 1.2000
GBP/USD
GBP/USD lower with strong bearish momentum today below the 1.3600 level. The pair might extend the weakness to target the 1.3450 support level and the trend line. It is better to wait until the bearish pressure lose momentum and bottoming out before entering long positions. An immediate reclaim of 1.3600 will become confirmation that the bull has returned.
Today’s critical levels to watch:
Support: 1.3450, 1.3330, 1.3300, 1.3250
Resistance: 1.3600, 1.3835, 1.40000
USD/JPY
USD/JPY extended the bullish movement for fifth days, there is no sign of weakness yet which mean the pair could continue upward. When the pair manage to print new higher swing high then the trend will turn bullish again. Meanwhile, it might form a lower swing high near the current level which become confirmation of bearish reversal. We favor bearish scenario for now as the pair printed new lower swing low in the latest bearish attempt.
Today’s critical levels to watch:
Support: 155.50, 155.00, 153.00, 151.00
Resistance: 158.89, 160.00
AUD/USD
AUD/USD trading lower below the 0.7000 level, there is no lower low printed yet on the chart. It means the pair is in consolidation for now and traders will watch reactions near the 0.7000 level. We still expect the pair to continue the upward movement to target 0.7160 resistance level.
Today’s critical levels to watch:
Support: 0.6820, 0.6750, 0.6700, 0.6600
Resistance: 0.7000, 0.7160