USDX (USD Index)
U.S dollar index reached the daily SMA 200 and stick near it for now. Traders will wait for reactions near the averages to get confirmation whether the bearish trend will continue or a reclaim above the level will happen. Shorting U.S. dollar near the current level could be a good idea, but when a strong close above the level happen, then it is time to get out of positions. We still maintain bearish bias on the index and will wait for confirmation.
EUR/USD
EUR/USD continue the bearish movement below the 1.1710 level. It seems the pair has a chance to continue lower to target the 1.1500 – 1.1580 area. Also, the daily SMA 200 will become the major point of interest. However, if the pair could reverse the direction, close above 1.1710 then the bullish trend will immediately continue.
Today’s critical levels to watch:
Support: 1.1710, 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1820
GBP/USD
GBP/USD pushed lower below the 1.3450 level, but no new lower low printed. If the bear could mount more pressure and print a new lower swing low, then the pair will start moving lower toward the 1.3300 – 1.3330 area. A close above 1.3450 might become the confirmation that the bull has seized control and bring the pair further upward to target 1.3600.
Today’s critical levels to watch:
Support: 1.3450, 1.3330, 1.3300, 1.3250
Resistance: 1.3600
USD/JPY
USD/JPY slightly higher today but no change to the overall situation. The pair continue trading inside the bullish candlestick range which formed at the middle of previous month. The next higher swing high or lower swing low will become the major confirmation on where the pair will move next.
Today’s critical levels to watch:
Support: 155.50, 155.00, 153.00, 151.00
Resistance: 158.89, 160.00
AUD/USD
AUD/USD bearish pressure continue as the pair testing the 0.6700 broken level. If the pair could stabilize near the level and formed bullish reactions, then traders could expect another bullish attempt above 0.6750. Otherwise, a new lower swing low on the chart will confirm the start of a new bearish leg.
Today’s critical levels to watch:
Support: 0.6700, 0.6600, 0.6560, 0.6500
Resistance: 0.6750, 0.6820