USDX (USD Index)
U.S dollar index extend the bullish movement and printed a new higher swing high last week. The index is expected to continue the bullish movement and target the 100.00 handles. Traders will wait for a bearish correction to enter long positions in the U.S dollar. On the upside, there is a bearish trendline to watch where a bearish reversal might happen.
EUR/USD
EUR/USD pushed lower and closed below the 1.10000 support level. The bearish pressure seems will continue this week as Russia – the Ukraine conflict continues under focus. If there is no change to the current bearish situation then we might see EUR/USD trading at parity against the U.S dollar before the end of the year.
Today critical levels to watch:
Support: 1.1000
Resistance: 1.1120, 1.1185, 1.1300, 1.1360, 1.1500
GBP/USD
GBP/USD made a close below 1.3250 and is now set to target the 1.3125 and 1.3000 support levels. The trend has been bearish since the breakout of the triangle pattern and closes below 1.3450. Traders will wait for a bullish correction to enter short positions in GBP/USD.
Today Critical level to watch:
Support: 1.3330, 1.3300
Resistance: 1.3450, 1.3600, 1.3835
USD/JPY
USD/JPY is mostly sideway between the trendline and 115.90 resistance level. No breakout from the range yet which means the consolidation will continue this week. Traders will continue waiting for a breakout from the range to get confirmation on the next direction. If the pair trade lowers then 112.00 will become a bearish target. On the upside, a close above 115.90 with strong bullish momentum is bullish continuation confirmation.
Today critical levels to watch:
Support: 115.00, 114.50, 113.00, 112.00
Resistance: 115.90
AUD/USD
AUD/USD broke and close above the daily SMA 200. The pair is on a bullish track, defying bearish pressure in the major currencies against the U.S dollar. The current bullish movement is supported by a rally in the precious metals. If the pair make a bearish correction toward the daily SMA 200 then traders could consider entering long positions.
Today critical levels to watch:
Support: 0.7330, 0.7300
Resistance: 0.7450, 0.7500