USDX (USD Index)
U.S dollar index moved lower today and print new lower low. However, the bearish pressure seems fading and the index return to the opening level. Traders are watching closely the talk between Trump-Xi on tariff. The market situation will depend on the talk result. Also, there is the release of U.S. job data tomorrow, which might influence the market. Traders better stay cautious for now and wait for clarity before placing positions.
Technically, we think the index will continue the bearish trend to target 97.43 level, either with bullish correction or not.
EUR/USD
EUR/USD trading upward and tested the level near 1.1500 before pulling back lower. The pair is expected to continue pressuring to the upside and eventually breakout higher. If the pair start another bearish correction, then traders could watch 1.1300 – 1.1360 area for bounce reactions. When there is bounce reactions, traders could add more long positions.
Today’s critical levels to watch:
Support: 1.1360, 1.1300, 1.1185, 1.1000
Resistance: 1.1500, 1.1580
GBP/USD
GBP/USD print new higher high today, but it seems the pair losing bullish pressure. We might see the pair continue ranging between 1.3450 – 1.3600 area. Tomorrow, U.S. job data might trigger some volatility in the pair and traders will observe closely the pair movement. If the pair close outside the range, then traders will get confirmation on the next direction.
Today’s critical levels to watch:
Support: 1.3450, 1.3330, 1.3300
Resistance: 1.3600
USD/JPY
USD/JPY mostly sideways with two bearish candles and two bullish candles. Nothing much to expect for now as the pair could continue trading sideways. Nevertheless, we maintain bearish outlook on the pair and expect it to continue moving lower to target 140.00 and 138.00. If the pair manage to bounce upward, then 145.00 is the major resistance level to watch.
Today’s critical levels to watch:
Support: 142.00, 140.00, 138.00
Resistance: 145.00, 149.20, 150.00
AUD/USD
AUD/USD climb above the green box area or the 0.6500 level. However, the upward movement seems losing momentum and might close near the 0.6500 level. At the current time, the pair might continue consolidating inside the green box area and traders will monitor the reactions. When the pair breakout and close outside the range with strong momentum, traders will get confirmation on the next direction.
Today’s critical levels to watch:
Support: 0.6350, 0.6250, 0.6000
Resistance: 0.6500, 0.6700