USDX (USD Index)
The bearish pressure on the U.S. dollar index has not printed a new lower swing low which means there is no change to the current bullish trend yet. We might see the index maintain its position near the current level until next week’s FOMC meeting. Traders will monitor closely the interest-rate announcement and the Fed outlook for this year. If the Fed softens and decides more rates then the index might start moving lower.
EUR/USD
EUR/USD moved higher but could not close the day on the bullish side. The pair is currently in a neutral situation and might attempt to extend the bullish movement toward 1.0500. However, if a bearish movement happens, the pair needs to maintain the 1.0339 level for the bullish trend to continue. A close below 1.0339 and a new lower swing low will confirm the continuation of a bearish trend.
Today’s critical levels to watch:
Support: 1.0339, 1.0200, 1.0100, 1.0000
Resistance: 1.0650, 1.0800
GBP/USD
GBP/USD situation is similar to the EUR/USD situation. The pair’s bullish attempt managed to print a higher high but could not close higher. The pair might consolidate near the current level or fall toward the 1.2000 – 1.2200 area to retest it again. Traders could wait near the support area for bullish reactions and a chance to add long positions.
Today’s critical levels to watch:
Support: 1.2200
Resistance: 1.2625, 1.2800, 1.3000
USD/JPY
USD/JPY turned higher yesterday and returned near the previous consolidation area. The pair might stick near the level as traders await next week’s FOMC meeting. Under the current situation, it is better to wait and see until the pair makes a major movement away from the consolidation range. On the lower side, if the pair resumes bearish movement, it will target the daily SMA 200.
Today’s critical levels to watch:
Support: 155.00, 151.80, 150.00
Resistance: 158.00
AUD/USD
AUD/USD situation is neutral with two days doji closes. The pair might continue trading sideways for now. We have mentioned, that a close above 0.6350 is vital for a bullish reversal in the pair. However, if the pair resumes the bearish movement and prints a new lower swing low then the bearish trend will continue.
Today’s critical levels to watch:
Support: 0.6000
Resistance: 0.6250, 0.6350, 0.6500, 0.6700