USDX (USD Index)

U.S dollar index maintains the level above 103.82 but no bullish continuation yet from the level. The index might continue trading sideways near the level for now while waiting for the catalyst to move. There is testimony by the Fed in front of congress about the economy and the Fed’s plan to fight inflation.

Traders will monitor closely the update on the event. Hawkish comments could bring more bullish pressure on the U.S dollar index.

EUR/USD

EUR/USD bullish correction has not reached the 1.0650 resistance level. The pair is currently under bearish pressure and might restart the bearish movement. On the upside, as long as there is no close above 1.0800, the pair will continue the bearish trend. On the lower side, a new lower low is needed to confirm long-term bearish continuation.

Today’s critical levels to watch:

Support: 1.0339, 1.0000

Resistance: 1.0650, 1.0800, 1.0900

GBP/USD

GBP/USD seems trading near the 1.2200 support level without strong reactions. The pair tested the level today and made a bullish recovery to trade back near the opening level. We will wait until the consolidation concluded in a major reaction either bearish or bullish. On the upside, the 1.2500 – 1.2625 will become the area to watch for a bearish reaction. Meanwhile, a close below 1.2000 will confirm the continuation of the bearish trend.

Support: 1.2200, 1.2100, 1.2000

Resistance: 1.2400, 1.2500, 1.2625

USD/JPY

USD/JPY started another bearish correction after printing a new higher high. Traders will wait until the pair reach support level for a chance to enter long positions. Shorting might not be a good option to take, the pair might reverse the bearish pressure and start moving upward again at anytime.

Today’s critical levels to watch:

Support: 131.28, 130.00, 126.00

Resistance: 135.00, 135.19

AUD/USD

AUD/USD continues under bearish pressure today and might resume the bearish movement to print a new lower low. The trend is bearish which means traders better avoid long positions until a new higher high is printed. On the upside, 0.7160 and daily SMA 200 will become the major resistance levels to watch.

Today critical levels to watch:

Support: 0.7000, 0.6820, 0.6750

Resistance: 0.7160, 0.7300