USDX (USD Index)
U.S dollar index broke above the trend line and managed to print a higher swing high. It seems the index will continue the bullish movement toward the daily SMA 200. Traders could wait for the index to reach the averages and show reactions. If there is strong bearish reactions, then it might be the time to add short positions. Otherwise, a close above the daily SMA 200 will open the chance for a climb toward 100.00 or previous swing high.
EUR/USD
EUR/USD continue the downward movement and now printed a new lower swing low. The pair might continue lower to test the 1.1710 support level. As the short-term trend is bearish, it is better to stay sideline for now and wait near support level. When there is strong bullish reactions, traders could consider adding long positions.
Today’s critical levels to watch:
Support: 1.1820, 1.1710, 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.2000, 1.2070
GBP/USD
GBP/USD extended the bearish movement and has reached the 1.3450 support level now. The pair bearish situation might extend toward the daily SMA 200 and there is no stopping yet. Under the current situation, traders will wait for more confirmation. When there is strong bounce reactions from the 1.3450 or daily SMA 200 then traders could enter long positions.
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 sharply higher yesterday and there is slight bullish continuation today. The pair has formed a higher swing low and now might continue upward to test the previous swing high. If the pair manage to print a new higher swing high, then the trend will return bullish. On the other hand, a compression could happen and the pair forming a triangle pattern.
Today’s critical levels to watch:
Support: 155.50, 155.00, 153.00, 151.00
Resistance: 158.89, 160.00
AUD/USD
AUD/USD moving higher today after previous day’s bearish close. The pair has a chance to move lower to test the 0.7000 level, but it also could reverse before reaching that level. Overall, the long-term direction is bullish, and we expect the continuation above 0.7160. On the lower side, a new lower swing low below 0.68998 is the initial confirmation that the trend has weakened.
Today’s critical levels to watch:
Support: 0.7000, 0.6820, 0.6750, 0.6700, 0.6600
Resistance: 0.7160