USDX (USD Index)
The bullish pressure of the U.S. dollar index continues and the index moves toward the daily SMA 200. Traders will continue waiting near the averages for bearish reactions. When there are bearish reactions, traders could enter short positions in the U.S. dollar. At the current time, the market is mostly driven by the sentiment toward rising inflation, we could expect the current situation to continue in March and April.
EUR/USD
EUR/USD broke below the 1.0650 support level and closed below it. The pair continue the bearish movement today with moderate momentum. If the bearish movement continues as expected then EUR/USD will target the daily SMA 200 or 1.0339. Traders will wait near both support levels for bullish reactions. When there is a bullish reaction, traders could enter long positions.
Today’s critical levels to watch:
Support: 1.0650, 1.0339, 1.0000, 0.9500
Resistance: 1.0800, 1.0900, 1.1000
GBP/USD
GBP/USD broke below the 1.2000 support level and continue the bearish movement. Fortunately, there is no lower low printed on the chart yet which means there is a chance of reversal. If the pair could move upward and close above 1.2000 then the consolidation inside 1.2000 – 1.2200 will continue. However, further weakness and a new lower low will confirm a new bearish leg in GBP/USD.
Today’s critical levels to watch:
Support: 1.2000, 1.1450
Resistance: 1.2100, 1.2200
USD/JPY
USD/JPY extends the bullish movement and soon will reach the daily SMA 200. There is nothing out of expectation yet, traders will wait near the resistance level for bearish reactions. When the pair form bearish reactions, traders could enter short positions targeting the green box area. On the lower side, a close below the green box area is a bearish continuation confirmation.
Today’s critical levels to watch:
Support: 133.00, 130.00, 125.00
Resistance: 137.70
AUD/USD
AUD/USD broke below the daily SMA 200 and 0.6820 support level. The pair immediately reached the 0.6750 support level and keep testing it. Under the current situation, traders will avoid entering long positions and wait until the pair return above the daily SMA 200. If the pair could return above the daily SMA 200 and print a strong bullish candlestick with strong momentum then there is a chance of a bullish reversal and continuation to target 0.7000 also 0.7160.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000