USDX (USD Index)
U.S dollar index resumes the bullish pressure and is set to retest the 103.82 resistance level. The bullish pressure might continue until next week’s CPI data. Traders will monitor the index reactions at the 103.82 resistance level. If there are major bearish reactions then traders could enter short positions in the U.S. dollar. However, if the index breakout and close above 103.82 with a strong bullish close then the index could continue upward to target the daily SMA 200.
EUR/USD
EUR/USD is back under bearish pressure and might reach the 1.0650 support level soon. Traders could use the moment to enter long positions near the support level when there are major bullish reactions. We expect next week U.S CPI data will become the catalyst for bullish reactions. However, if the pair continues moving lower after the data release then traders will prepare for further weakness toward the daily SMA 200.
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 sticks inside the 1.2000 – 1.2200 area and near the daily SMA 200. The pair will continue consolidating inside the area until next week’s CPI data. Will the pair breakout and close below the area to continue the bearish movement? Alternatively, will a bullish breakout happen and the pair set a new bullish leg to target the 1.2625 and 1.2800 resistance levels?
Today’s critical levels to watch:
Support: 1.2000, 1.1450
Resistance: 1.2100, 1.2200
USD/JPY
USD/JPY was under bearish pressure today and fell with strong momentum. However, the bearish pressure has receded, and the pair is back near the opening level. It seems the pair will close the day near the green box area and continue consolidating near it next week. If the pair continues moving upward then it will target the daily SMA 200. On the other hand, if the pair start moving lower again then it will target a new lower low.
Today’s critical levels to watch:
Support: 130.00, 125.00
Resistance: 133.00, 137.70
AUD/USD
AUD/USD got rejected near the 0.7000 resistance level and now the pair moving lower to test the 0.6820 support level. The consolidation between the 0.6820 – 0.7000 area seems will continue this week and traders will use the chance to enter long positions at a lower level. If the pair manages to reach daily SMA 200 or 0.6820 then it is chance for traders to enter long positions when there is bullish reactions.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000