USDX (USD Index)

U.S dollar index continues moving upward and prints a bullish close. It seems the bearish correction scenario toward the 100.00 – 100.30 might not happen now. However, there is U.S inflation data released today which could trigger volatility. If the index reverses the direction and moves lower then it could target the 100.00 – 100.30 area. On the other hand, without a change in the bullish pressure then we will see a continuation of the long-term bullish trend.

EUR/USD

EUR/USD pushed below 1.0650 yesterday and made a bearish close. The pair will attempt to maintain the position near the current level. If the pair could close above 1.0650 at the end of the day then there is a chance of a bullish reversal. On the other hand, further weakness with strong bearish momentum will confirm bearish continuation.

Today’s critical levels to watch:

Support: 1.0650, 1.0339, 1.0000

Resistance: 1.0800, 1.0900

GBP/USD

GBP/USD made two bearish closes but stay inside the Tuesday range. The pair might continue its ranging movement until the release of U.S inflation data. Traders will wait for the pair reaction after the data release. If the pair continues moving lower then we have a signal for long-term bearish continuation. On the other hand, a close above 1.2625 is bullish confirmation toward 1.2800 and 1.3000.

Today Critical level to watch:

Support: 1.2500, 1.2400, 1.2200, 1.2100, 1.2000

Resistance: 1.2625, 1.2800, 1.3000

USD/JPY

USD/JPY hanging near the high without much change. The pair might continue to stay near the high and continue to target 2002 high. Under the current situation, traders could only wait for a bearish reversal or bearish correction for a chance to enter long positions. On the lower side, the area between 131.00 – 131.28 might become a bounce area when a bearish correction happens.

Today’s critical levels to watch:

Support: 131.28, 130.00, 126.00

Resistance: 135.00, 135.19

AUD/USD

AUD/USD traded lower and closed below the 0.7160 support level yesterday. The pair might have a bearish continuation confirmation but traders will wait for the closing level of the week. If the pair could reverse the bearish pressure and close above 0.7160 then we might see another attempt on daily SMA 200.

On the other hand, a further bearish close below yesterday’s low is a stronger bearish confirmation.

Today critical levels to watch:

Support: 0.7160, 0.7000, 0.6820, 0.6750

Resistance: 0.7300