USDX (USD Index)

The index traded lower for the day but it seems the bearish momentum slowly recede. If at the end of day U.S dollar index could return above a previous day low then we might see a bullish reversal. Traders will wait the close of the day to determine the index next direction.

News to watch

For full outlook for this week, you can follow Forex Outlook For The Week 15-19 July 2019

Technical Analysis

EUR/USD

The pair supported by the bullish trendline, however, there is no significant bounce from it. EUR/USD initially climbed above previous day high but currently traded back below it. If the pair could not print a higher close at the end of this week then EUR/USD might tumble below the trendline and continue toward 1.1185.

today critical levels to watch:

Support: 1.1200, 1.1180

Resistance: 1.1280, 1.1300, 1.1360, 1.1500

GBP/USD

Finally, a bounce materialized in GBP/USD and the pair started a bullish correction. But, there is no change to the long-term bearish situation of GBP/USD yet. The pair expected to continue its bearish movement inside its bearish channel.

Today Critical level to watch:

Support: 1.2400

Resistance: 1.2500, 1.2625, 1.2800

USD/JPY

Continue sideline is the best idea traders could take in USD/JPY for now. The pair show indecision over the next direction. It fell below previous week low but recover most of its losses. Currently, the pair traded near the previous week low and might close near it.

Today critical levels to watch:

Support: 107.40, 107.00

Resistance: 108.00, 108.50, 109.00

AUD/USD

AUD/USD bounced from the 0.7000 and currently challenging the level around 0.7040 – 0.7050. We think there is high chance AUD/USD could surpass the level and reach SMA 200 in the near-term.

Today critical levels to watch:

Support: 0.7000, 0.6900

Resistance: 0.7100