USDX (USD Index)

U.S dollar index hit the bottom range of 94.00 – 95.00 with strong momentum. The bearish movement continue at the current trading session. However, we think the bull will return to the market and close the index above 94.00. Weekly candle closes it the major indication which traders need to watch.

News to watch

For full outlook for this week, you can follow Forex Outlook For The Week 2 – 6 July 2018

Technical Analysis

EUR/USD

The pair breaks above 1.1710 and cleared the resistance. We could expect EUR/USD to continue its upward movement toward the trendline and 1.1820 in the coming week. The bull needs to maintain the position above 1.1710 by the close of the day to confirm the breakout.

Today critical level to watch:

Support: 1.1710, 1.1650, 1.1600

Resistance: 1.1820

GBP/USD

GBP/USD stick near 1.3250 and not moving far from the level today. After U.S job data, the pair gains buyer and surpass the level 15 pips above. No major breakout happen yet, and the pair could reverse at any time. Meanwhile, traders will watch the pair reaction above the 1.3250 and see where it close by the end of the week.

Today critical level to watch:

Support: 1.3250, 1.3100, 1.3000

Resistance: 1.3300, 1.3330

USD/JPY

The bull hesitates to bring USD/JPY higher after it closes above 110.50 and top of the triangle. Slowly, the bear gaining control today and the pair fall below 110.50. Will the trend switch to bearish and USD/JPY breakout below daily SMA 200 again next week?

Today critical level to watch:

Support: 110.00, 109.50

Resistance: 110.50, 111.00

AUD/USD

AUD/USD trapped inside the green box the entire week and expected to close inside it. There is no change to the analysis this week and traders could continue to adopt ranging strategy next week.

Today critical level to watch:

Support: 0.7400, 0.7330, 0.7300

Resistance: 0.7500, 0.7550, 0.7600