USDX (USD Index)
U.S dollar index printed a bearish close yesterday which might become a confirmation of the bearish movement to retest the 103.82 resistance. We still think the index could continue the bullish movement to target the daily SMA 200. If the index continues upward and tests the daily SMA 200 then traders could prepare to enter short positions in the U.S. dollar when there are bearish reactions. On the lower side, 100.00 will become the medium-long-term bearish target.
EUR/USD
EUR/USD closed the day on the bullish side yesterday and avoided further weakness to print a new lower low. The pair might continue upward to test the 1.0650 level. If the pair get rejected with strong bearish reactions then traders could enter short positions with 1.0339 and daily SMA 200 as a target. However, a close above 1.0650 could open the bullish path toward 1.0800.
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 closed below the 1.2000 support level but immediately make a bullish movement and close back above it yesterday. The pair currently moving upward and set to test the daily SMA 200. Traders will continue waiting for a close outside of the 1.2000 – 1.2200 area to confirm the next direction. As long as there is no lower low printed on the chart, there is a chance of long-term bullish continuation.
Today’s critical levels to watch:
Support: 1.2000, 1.1450
Resistance: 1.2100, 1.2200
USD/JPY
USD/JPY almost reaches the daily SMA 200 where bearish reactions might happen. Traders will wait until the bearish reactions happen with strong reactions to enter short positions. On the lower side, the green box area will become the bearish target to watch. However, if the pair could close above the daily SMA 200 then traders might want to observe more before entering short positions.
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 closed inside the 0.6700 – 0.6750 area. The pair currently might consolidate inside the area and traders will wait for further reactions. If the pair could bounce from the level then it will retest the daily SMA 200. A close above the daily SMA 200 will confirm further upside in the pair and return to the bullish trend.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000