USDX (USD Index)
U.S dollar index made a bullish reversal after a strong U.S. job data release last week. The upward movement has strong momentum and might continue for several days or weeks. Traders will monitor the index reaction near the 103.82 resistance level. If the index is limited below the level and shows a major bearish reaction then traders could enter short positions.
EUR/USD
EUR/USD got rejected from the 1.1000 resistance level and fell with strong bearish momentum. The pair might continue the bearish movement to target the 1.0650 support level next. Traders will continue waiting for the pair to reach the support level and form bullish reactions to enter long positions. On the other side, if the pair continues moving upward and closes above 1.1000 then it will confirm a bullish continuation.
Today’s critical levels to watch:
Support: 1.0800, 1.0650, 1.0339, 1.0000, 0.9500
Resistance: 1.0900, 1.1000
GBP/USD
GBP/USD closed inside the 1.2000 – 1.2200 area and below the daily SMA 200. The pair’s bearish pressure might continue but as long as the pair maintain the position inside the 1.2000 – 1.2200 area or no lower low printed then there is a chance of a bullish reversal. Traders will wait for bullish reactions near the current level to enter long positions.
Today’s critical levels to watch:
Support: 1.2000, 1.1450
Resistance: 1.2100, 1.2200
USD/JPY
USD/JPY continues the upward movement above the bearish channel and currently trading above the green box area. The pair might continue the bullish movement to target the daily SMA 200 and the upper trendline. Traders will wait near both resistance levels and prepare to enter short positions when there are major bearish reactions from the levels.
Today’s critical levels to watch:
Support: 125.00
Resistance: 130.00
AUD/USD
AUD/USD pushed lower and closed below the 0.7000 support level. The pair might keep moving lower to target the 0.6820 and daily SMA 200. Traders could regard the current bearish movement as a healthy bearish correction and prepare to enter long positions near the support level when there are bullish reactions.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000