USDX (USD Index)
U.S dollar index weakness has reached the previous swing low where a bounce reaction happened. The index is expected to continue the bearish movement after completing the current bullish correction. On the upside, the daily SMA 200 will become the resistance level to watch. In the long-term, we think the index could extend the bearish movement toward 100.00 support level.
EUR/USD
EUR/USD breakout above the daily SMA 200 also the 1.0800 resistance level. The pair has printed new higher swing high which mean the bullish trend could continue. If the pair start a bearish correction, then the 1.0800 level and the daily SMA 200 will become support levels to watch. 1.0900 and 1.1000 are the resistance levels to watch as target.
Today’s critical levels to watch:
Support: 1.0800, 1.0650, 1.0500, 1.0339
Resistance: 1.0900, 1.1000
GBP/USD
GBP/USD is on the path upward to target the 1.3000 resistance level. There is nothing to hinder the current bullish trend. If the pair started a bearish correction, then traders could use 1.2800, daily SMA 200 and 1.2625 as places to add more long positions. However, if the pair manage to print a new lower swing low, then traders will question whether the current bullish leg could continue.
Today’s critical levels to watch:
Support: 1.2800, 1.2625, 1.2200
Resistance: 1.3000
USD/JPY
USD/JPY printed a new lower low at the end of the previous week. The pair is in a bearish trend now and will continue the downward movement. On the lower side, 145.00 and 142.00 are the targets to watch. On the upside, if the pair attempt to move upward, then 149.20 and 150.00 are the resistance levels to use as a place to add short positions.
Today’s critical levels to watch:
Support: 149.20
Resistance: 150.00, 151.00, 151.80
AUD/USD
AUD/USD got rejected near the 0.6350 resistance level and there is bearish breakout below pin bar pattern. It might be a bearish continuation indication. However, the bearish breakout lost most of its downward movement. If the pair could immediately jump upward and close above 0.6350 this week, then the situation will turn bullish again with 0.6500 and daily SMA 200 as upward target.
Today’s critical levels to watch:
Support: 0.6250, 0.6000
Resistance: 0.6350, 0.6500, 0.6700