USDX (USD Index)
Broadly speaking, the U.S. dollar index is currently on a downward path toward the daily SMA 200. Currently, a triangle pattern is forming which will be the area where the U.S. dollar index moves. It can be said that the movement of the index is sideway for the time being with high and low points getting tighter. When the index manages to leave the area or forms a higher swing high / lower swing low point, the direction of the next movement will be confirmed.
It is estimated that this sideway movement could continue until the Fed meeting in September with some twist.
EUR/USD
EUR/USD is above the daily SMA 200 and 1.0800, opening up opportunities for further strengthening. The pair will target the trendline or point 1.0900 if the increase can continue. Just like the U.S. dollar index, the high and low points of the pair are getting tighter, which indicates sideway movement. Traders can take advantage of the currently formed range to carry out range trading strategies.
Today’s critical levels to watch:
Support: 1.0650, 1.0500
Resistance: 1.0800, 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD tried to break out above 1.2800 but failed and formed a bearish pin bar pattern yesterday. The pair has now fallen below yesterday’s low point so the situation is still sideways between 1.2625 – 1.2800. Consolidation will still take place and traders will continue to use the 1.2625 – 1.2800 area to carry out range trading. For now, the strategy that can be used for the medium-long term is to continue accumulating near the 1.2625 point and the daily SMA 200.
Today’s critical levels to watch:
Support: 1.2625, 1.2200, 1.2100, 1.2000
Resistance: 1.2800, 1.3000
USD/JPY
USD/JPY is heading back up after yesterday’s bullish close. The pair looks to rise above yesterday’s high point and will try to continue its bullish trend to form a higher swing high point. If the pair moves down further then traders will use this opportunity to enter a long position at the support point. As long as there is no lower swing high point or lower swing low point, the trend will still be bullish.
Today’s critical levels to watch:
Support: 150.00, 147.00, 145.00, 142.00, 141.00
Resistance: 155.00
AUD/USD
AUD/USD tested 0.6750 points and formed a bearish close yesterday. The resistance point does not appear to be broken at this time and a bearish correction may occur. If there is a decline to 0.6700 then traders can use this opportunity to enter a long position. A close above 0.6750 will open opportunities for an increase towards 0.6820.
Today’s critical levels to watch:
Support: 0.6500, 0.6350, 0.6170, 0.6000
Resistance: 0.6700, 0.6750, 0.6820, 0.7000