USDX (USD Index)
Not much hint from the U.S dollar index movement. The index continues upward before the Fed interest-rate decision which provides traders with mix signal. Tomorrow, the Fed will hold FOMC meeting and announce interest-rate also provide traders and investors with future outlook. Rate-cut follows by more rate-cut projection will topple the current upward movement of U.S dollar index.
Meanwhile, traders might continue sideline for now.
News to watch
10.00 AM U.S CB Consumer Confidence, forecast reading of 125.1
For full outlook for this week, you can follow Forex Outlook For The Week 29-2 August 2019
Technical Analysis
EUR/USD
EUR/USD holding out inside the range 1.1120 – 1.1185. No breakout before the Fed interest-rate decision which means the pair expected to stay inside the range for now. Tomorrow we will have an interest-rate announcement by the Fed. It is possible EUR/USD reverse upside and a breakout above 1.1185. However, traders might want to enter small positions only until the announcement made.
today critical levels to watch:
Support: 1.1120
Resistance: 1.1185, 1.1200, 1.1280, 1.1300
GBP/USD
The bearish movement of GBP/USD continues yesterday and today. The pair pushed lower and almost reach 1.2000 – 1.2100 support area. At the current time, there is no bullish indication. Traders better avoid long positions at least until the pair formed a bullish pattern near the support area.
Today Critical level to watch:
Support: 1.2100, 1.2000
Resistance: 1.2300, 1.2400
USD/JPY
USD/JPY almost reached 109.00 resistance today before turned lower. The pair might hover near 109.00 resistance until the Fed interest-rate decision tomorrow. Traders will continue to observe the event and reactions before placing positions.
Today critical levels to watch:
Support: 108.50, 108.00, 107.40
Resistance: 109.00
AUD/USD
No change to the AUD/USD direction. The pair extended its bearish movement for eight days. Long positions are not suggested until the pair form a bullish pattern. Short positions need to wait until the pair corrected higher and reach the nearest resistance.
Today critical levels to watch:
Support:
Resistance: 0.6900, 0.7000, 0.7100