USDX (USD Index)
The bearish pressure on the U.S. dollar index is expected to continue and bring the index down to the target 100.00 handles. Each bullish movement is a chance for traders to enter short positions in the U.S. dollar. As long as the index continues printing new lower lows and lower highs then the bearish trend will continue. Long positions are not suggested until the index reaches the 100.00 handle and form major bullish reactions.
EUR/USD
EUR/USD is losing upward pressure as the pair looks trading lower today. It currently tests the 1.0800 level and might extend the bearish movement toward the 1.0650 support level. If the pair could reach the level and bounce from it then traders could enter long positions. On the upside, 1.1000 is the bullish target where traders could enter short positions on bearish reactions.
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 stick near the 1.2000 – 1.2200 area without a major change to the situation. The pair might keep consolidating near the level and traders will continue to monitor the pair’s reactions. At the current time, there is a bullish attempt to bring the pair upward. Will the bullish pressure manage to extend the upward movement to print a new higher high? Alternatively, will the pair start moving lower again and print a close below 1.2000 then a new lower low to confirm a bearish trend?
Today’s critical levels to watch:
Support: 1.2000, 1.1450
Resistance: 1.2100, 1.2200
USD/JPY
USD/JPY is in a bearish trend inside the bearish channel. The pair will keep moving lower to print a new lower low. As long as the pair continue printing a new lower low and lower high then there is no reason for traders to enter long positions. On the upside, the top of the channel is the level to watch for possible short positions.
Today’s critical levels to watch:
Support: 139.30, 135.19, 135.00
Resistance: 140.00, 145.00, 150.00
AUD/USD
AUD/USD is limited near the 0.7000 level. The upward movement lost bullish pressure and the pair continuously traded near the level. If the pair get rejected then traders will wait near the daily SMA 200 for a chance to enter long positions. On the upside, if the 0.7000 level is broken then 0.7160 is the next resistance level to watch.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000