USDX (USD Index)
U.S dollar index extends its bullish close yesterday and avoided bearish correction. The index might continue its upward movement and target 99.40 – 100.00 resistance area now. Traders will continue to hold long positions in the U.S dollar. If a bearish correction happens then traders will observe the reaction near 98.40
News to watch
08.30 AM U.S CPI m/m, forecast 0.2%, Core CPI m/m, forecast 0.2%
For full outlook for this week, you can follow Forex Outlook For The Week 10 – 14 February 2020
EUR/USD
EUR/USD resumes its downward movement and closed below the 1.0900 support level. The bearish movement might continue but at the current time EUR/USD attempting to move higher. Traders will watch the reaction at 1.0900 and add more short positions if there is bearish rejection.
today critical levels to watch:
Support: 1.0800
Resistance: 1.0900, 1.1000
GBP/USD
GBP/USD traded near 1.3000 and waiting for further reaction. If the pair closed above the level then the pair will return inside 1.3000 – 1.3250 range. On the other hand, if bearish rejection happens then GBP/USD will target SMA 200 and 1.2800.
Today Critical level to watch:
Support: 1.2800
Resistance: 1.3000, 1.3050, 1.3125, 1.3250
USD/JPY
USD/JPY could not create a major breakout above the 110.00 resistance. Today, the pair is under pressure and in the risk of falling below 109.70. We think current bearish pressure is a temporary reaction only and as long as no close below 109.70, USD/JPY will continue its ranging movement inside 109.70 – 110.00.
Today critical levels to watch:
Support: 109.70, 109.00, 108.50, 108.00
Resistance: 110.00, 110.50, 111.00
AUD/USD
AUD/USD touched the 0.6750 level yesterday and not major bearish reaction yet. The pair slightly lower today but might reverse its bearish pressure and retest 0.6750 again. The pair need a close above 0.6750 and 0.6775 to start a new short-term bullish trend. As long as the pair continue to trade below 0.6750, it is expected to continue its bearish trend.
Today critical levels to watch:
Support: 0.6600
Resistance: 0.6750, 0.6800, 0.6820