USDX (USD Index)
The U.S. dollar index is testing 103.50 and waiting for further reaction. The announcement of interest rates by the Fed can be a catalyst for the next movement. If the index experiences a strong bearish repulsion then the downward trend may continue. Conversely, if the index rises sharply then the 200 SMA point is the target for an increase. Traders should wait for the daily or weekly close for further direction confirmation.
EUR/USD
EUR/USD hanging near the 1.0900 point now and awaits further developments. The decline toward the 1.0800 and 1.0650 support levels can give traders an opportunity to increase long positions. If the pair continues its bullish movement immediately then the points 1.1120 and 1.1185 will become targets for a rise after the point 1.1000 is successfully broken.
Today’s critical levels to watch:
Support: 1.0800, 1.0650, 1.0339
Resistance: 1.0900, 1.1000
GBP/USD
GBP/USD is in the middle of 1.2625 – 1.2800 for now. The direction of the trend is bullish for the long term and the pair is expected to continue its rise. If it turns out that the bearish correction continues then traders can wait near the daily SMA 200 for opportunities to add to long positions.
Today’s critical levels to watch:
Support: 1.2625, 1.2200, 1.2100
Resistance: 1.2800
USD/JPY
USD/JPY is moving near 145.00 waiting for a reaction from there. A bearish correction towards 141.00 is an opportunity for traders to add long positions. Without a bearish correction, the pair’s next bullish target is 147.00. Traders should stick to long positions and avoid short positions unless there is a sharp reaction after the Fed announcement.
Today’s critical levels to watch:
Support: 141.00, 140.00, 139.30, 137.70, 133.00
Resistance: 145.00, 147.00
AUD/USD
AUD/USD is now trading near its daily SMA 200 and traders will be waiting for the outcome of the Fed announcement. If the pair pushed down after the Fed’s announcement then there is a possibility that the bearish trend may continue. Conversely, if the pair can rise above the daily SMA 200 then there is a chance for the continuation of the bullish movement within the 0.6700 – 0.6820 area.
Today’s critical levels to watch:
Support: 0.6700, 0.6500, 0.6000
Resistance: 0.6750, 0.6820, 0.7000