USDX (USD Index)
U.S dollar index held out at the 103.82 level and bounce from it last week. The index currently trading inside Friday’s range and might continue trading sideways. If the index could continue moving upward and print a new higher high then the bullish trend is set to continue. On the other hand, a movement below the previous week’s low will trigger selling toward the 100.00 – 100.30 area.
EUR/USD
EUR/USD managed to avoid printing a new lower low in the latest bearish leg. The pair is trading slightly higher but it needs to print a higher high above 1.0800 to confirm a bullish reversal. At the current time, if the pair start moving lower again and print a lower low then the bearish trend will continue.
Today’s critical levels to watch:
Support: 1.0339, 1.0000
Resistance: 1.0650, 1.0800, 1.0900
GBP/USD
GBP/USD holding out above the 1.2200 support level after showing a bullish reaction from the 1.2000 – 1.2200 area. The pair might continue moving upward and target the 1.2500 – 1.2625 area. If the pair get rejected with a strong bearish reaction then a lower high will be printed and confirm a bearish continuation.
Support: 1.2200, 1.2100, 1.2000
Resistance: 1.2400
USD/JPY
USD/JPY started a bearish correction last week and reached a level near 131.28. The pair immediately bounced from the level and back to the high level. It seems the pair will attempt to continue the current bullish trend and target a new higher high. Traders will stay cautious as the current level is near the 2002 high where the pair might start a major bearish correction. Otherwise, the pair could also breakout above 2002 high and continue the bullish trend.
Today’s critical levels to watch:
Support: 131.28, 130.00, 126.00
Resistance: 135.00, 135.19
AUD/USD
AUD/USD closed below 0.7000 at the end of the previous week. The pair trading upward today and manage to reach 0.7000. No breakout above the level today, we have bearish rejection instead. If the pair continues moving lower and print a lower low then the bearish trend is set to continue.
Today critical levels to watch:
Support: 0.7000, 0.6820, 0.6750
Resistance: 0.7160, 0.7300