USDX (USD Index)
The upward pressure on the U.S. dollar index has reversed today. No change to the bearish situation where the index might reach the 100.00 level. Traders will continue to monitor the FOMC meeting this week which will decide the medium-long-term trend of the index this year. If the index continues lower then traders will observe the index reaction near the 100.00 handle. On the upside, 103.82 is the level to watch as a resistance level.
EUR/USD
EUR/USD is consolidating inside the 1.0800 – 1.0900 area. The pair tested the bottom of the range today and show a bounce reaction. Traders will continue to monitor the pair reaction inside the 1.0800 – 1.0900 area. We think traders will continue to stick with long positions as the trend is bullish. If the pair continues moving lower then traders could use 1.0650 as a level to enter long positions.
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 is mostly sideways at the current time. The pair is expected to continue the bullish movement to target the 1.2625 and 1.2800 resistance levels. If the pair start moving lower again then traders will wait near the 1.2000 – 1.2200 area for a chance to enter long positions. As long as there is no lower low printed on the chart, the pair has a chance to continue the current bullish trend.
Today’s critical levels to watch:
Support: 1.2000, 1.1450
Resistance: 1.2100, 1.2200
USD/JPY
USD/JPY continues trading inside the bearish channel which means the trend will continue bearish. Traders will continue to monitor the pair reaction at the top of the channel and the green box area. If the pair could breakout higher then we might see a bullish correction toward the daily SMA 200. Meanwhile, it is better to hold short positions with stops above the daily SMA 200.
Today’s critical levels to watch:
Support: 125.00
Resistance: 130.00
AUD/USD
AUD/USD pushed lower today and reached the 0.7000 support level. The bearish pressure has stopped and the pair show a bullish reaction from the support level. We might see the pair close near the opening level and continue moving upward again. On the upside, 0.7160 is the key level to break for the pair to continue the bullish trend for the long-term.
Today’s critical levels to watch:
Support: 0.6750, 0.6700, 0.6500, 0.6000
Resistance: 0.6820, 0.7000