USDX (USD Index)
U.S dollar index made three bullish close after the formation of a lower low. The index trend might change from bearish to bullish if a higher high is printed on the chart. No higher high printed yet for now. Long positions are not suggested as the long-term trend continues to bearish. However, there is a possibility of a higher low printed around 89.60 – 90.00.
At the current time, it is better to continue to monitor the index reaction.
EUR/USD
EUR/USD pushed further lower below 1.2200. The pair might continue moving lower and target the 1.2000 – 1.2070 area. The same strategy as before, traders could consider long positions near the 1.2000 – 1.2070 when there is a major bullish reaction.
today critical levels to watch:
Support: 1.2070, 1.2000
Resistance: 1.2200, 1.2300, 1.2500
GBP/USD
GBP/USD moved lower yesterday and reached the 1.3450 support level. The pair then bounced and reach the 1.3600 resistance level today. Traders could expect the pair movement contained between 1.3450 – 1.3600 for now. If the pair could breakout and close above 1.3600 then traders could expect continuation toward 1.3835 and 1.4000.
Today Critical level to watch:
Support: 1.3450, 1.3330, 1.3300
Resistance: 1.3600, 1.3835, 1.4000
USD/JPY
No bearish reaction yet from the top of the bearish channel on the USD/JPY chart. The pair continue trading inside the channel and waiting for a reaction. If the pair get rejected with a strong bearish reaction then traders will expect a bearish continuation inside the channel.
Today critical levels to watch:
Support: 101.50, 101.19
Resistance: 104.00, 105.00, 106.00, 106.70
AUD/USD
AUD/USD corrected lower and closed near the top of the channel. There is a bullish reaction today but it might be short-lived. We think the pair might continue its bearish movement toward the bottom of the channel or 0.7640. If the bearish pressure continues to mount then traders could expect a pullback toward 0.7500 – 0.7550.
Today critical levels to watch:
Support: 0.7700, 0.7640
Resistance: 0.7750, 0.7800