USDX (USD Index)

There is no hope yet for the bull in today trading session. U.S dollar index progress lower to reach new yearly low and showing no sign of bounce. Traders suggested to take it slow and only enter long position with small size until there is sign of reversal on the index. 93.77 is the next stop on daily chart and 92.00 is the final stop on weekly chart where the bull must reverse the trend.

(We will update U.S dollar index map and all pair in daily analysis on the next post.)

News to watch

For full outlook for this week, you can follow Forex Outlook For The Week 17 – 21 July 2017

Technical Analysis

EUR/USD

EUR/USD progressing upside following the commentary by ECB Mario Draghi. The pair getting near extreme high 1.1712 (Aug’15 high) where price fell in the previous bearish leg. The bull is extremely confident and looks will test the extreme high soon.

Today critical level to watch:

Support: 1.1615, 1.1600, 1.1500, 1.1400

Resistance: 1.1700, 1.1712

GBP/USD

GBP/USD is struggling to regain 1.3000 which it lost in the previous trading day. The pair manage to move above 1.3000 handle today, but moving back lower in the U.S trading session. The pair close will determine next week movement. If the pair could close above 1.3000 it will help the bull to maintain current bullish trend. Otherwise, a close below 1.3000 could lead the pair into correction period toward 1.2900.

Today critical level to watch:

Support: 1.2940, 1.2900, 1.2850

Resistance: 1.3000, 1.3030, 1.3046, 1.3070

USD/JPY

The bull lost the battle today and retreat below Fibonacci 50% as well as daily SMA 200. The pair currently hovering near 111.00 and risk more downward pressure. The downward movement might reach 110.50, but the pair might reverse its course if U.S dollar index bounce from its yearly low.

Today critical level to watch:

Support: 111.00, 110.50

Resistance: 111.64, 112.00, 112.50, 113.00, 114.00

AUD/USD

Despite the reversal before 0.8000 touched, AUD/USD has finished bullish cycle to reach 0.8000. The pair might experience profit-taking or sideway movement near the resistance before building on momentum to break 0.8000. Depend on how the U.S dollar index behave, traders might want to stay sideline and scaling out in AUD/USD for a while.

Today critical level to watch:

Support: 0.7900, 0.7834, 0.7750, 0.7690, 0.7660

Resistance: 0.8000