USDX (USD Index)
U.S dollar index lower for the third day and might continue its weakness toward 98.40 support level. Traders will let the index move lower and reach the target level for now. When the index reaches the support level, traders could consider long positions in the U.S dollar near it.
News to watch
For full outlook for this week, you can follow Forex Outlook For The Week 24 – 28 February 2020
EUR/USD
EUR/USD closed higher for the third day and expected to target 1.0900 resistance. If the pair could close significantly higher above the resistance level then EUR/USD will have the chance to extend its bullish movement and target 1.1000.
Traders will prepare to enter short positions near 1.0900 when the pair produce major bearish reaction.
today critical levels to watch:
Support: 1.0800, 1.0700
Resistance: 1.0900, 1.1000
GBP/USD
GBP/USD reached 1.3000 resistance and stick near it. The pair might consolidate near the resistance level and make a breakout above it. Today, there is no major reaction yet near the resistance. Without any break and close above the resistance level, GBP/USD expected to trade between daily SMA 200 and 1.3000.
Today Critical level to watch:
Support: 1.2800
Resistance: 1.3000, 1.3050, 1.3125, 1.3250
USD/JPY
The rejection from 112.00 brought USD/JPY lower and closed inside 110.00 – 110.50 area yesterday. No movement outside of the range today and the pair might continue ranging. Traders will wait for a breakout of the range and place positions based on the breakout direction. At the current time, we still expect a bullish continuation in USD/JPY.
Today critical levels to watch:
Support: 110.00
Resistance: 110.50, 111.00, 112.00, 112.50
AUD/USD
No change in AUD/USD analysis yet as the pair continues moving lower today. The pair printed a fresh lower low which suggests traders continue to avoid long positions. Traders suggested entering short positions only when there is a bullish correction in the pair.
Today critical levels to watch:
Support: 0.6500
Resistance: 0.6600, 0.6662, 0.6750