USDX (USD Index)
U.S dollar index reached the 100.00 level and will continue test it now. It might extend the upward movement to test the top of the green box area. If the index could break out and print new higher swing high, then it will continue the bullish movement to target the daily SMA 200. Under current situation, traders will wait for reactions near resistance level. If there is strong bearish reactions, then there is chance to enter short positions in the U.S. dollar index. Otherwise, it is better to stay sideline for now.
EUR/USD
EUR/USD continue the downward movement and soon will reach the 1.1300 – 1.1360 area. The pair will test the support level and traders will wait for reactions. If the pair could bounce upward with strong momentum, then we will see new bullish leg. On the other hand, bearish breakout and there is no change to the bearish momentum, will bring the pair down to target daily SMA 200.
Today’s critical levels to watch:
Support: 1.1360, 1.1300
Resistance: 1.1500, 1.1580, 1.1710, 1.1820
GBP/USD
GBP/USD closed below 1.3250 and extend the bearish movement below it. The bearish momentum has not receded, but it looks slowing for now. The pair might extend the downward movement to target the daily SMA 200. Traders could wait near the averages for bullish reactions. When there are bullish reactions, traders could start entering long positions.
Today’s critical levels to watch:
Support: 1.3330, 1.3300
Resistance: 1.3450, 1.3600, 1.3800, 1.4000
USD/JPY
USD/JPY breakout higher above the daily SMA 200 also the 150.00 level. It seem the pair could continue the bullish movement to target the top of green box area. As mentioned before, if the pair could close above the area, then the trend might turn bullish for medium-long term. No confirmation yet for now, it is better to stay sideline and monitor the pair reactions near the resistance level.
Today’s critical levels to watch:
Support: 149.20, 145.00, 142.00, 140.00, 138.00
Resistance: 150.00
AUD/USD
AUD/USD keep falling toward the bottom of the broadening pattern. The pair has not shown any bullish reactions which suggest further weakness. On the lower side, the daily SMA 200 might become the final target to watch. If the pair could maintain the position and bounce sharply, then the pair will continue moving inside the broadening pattern. Otherwise, a severe bearish breakout could happen below the daily SMA 200 and cancel all bullish outlook.
Today’s critical levels to watch:
Support: 0.6350, 0.6250, 0.6000
Resistance: 0.6500, 0.6700