USDX (USD Index)

Two days bounce from the 97.50 support is a good confirmation that U.S dollar index ready to continue its bullish trend. There is no reason to take short positions. But, today U.S job data might become the determinant of the index next direction. The current bullish advantage could turn into bearish depend on the news result.

News to watch

08.30 AM U.S Non-Farm Employment Change, forecast 181k

Unemployment Rate, forecast 3.8%

10.00 AM U.S ISM Non-Manufacturing PMI, forecast 57.2

For full outlook for this week, you can follow Forex Outlook For The Week 29-3 May 2019

Technical Analysis

EUR/USD

EUR/USD continues under pressure yesterday and closed below 1.1185. The pair expected to continue its weakness today as U.S job data loom. Depend on the result, EUR/USD might reverse upside and close above 1.1185 and cancel current bearish view. On the long-term, we expect the pair to break lower below 1.1120.

today critical levels to watch:

Support: 1.1120

Resistance: 1.1185, 1.1200, 1.1300

GBP/USD

GBP/USD not moving far away from the SMA 200 and no clue yet on the next direction. The pair could trade sideways between 1.3000 and SMA 200 until breakout happen. The bearish scenario is favored more than the bullish scenario. Which mean traders could take short positions when breakout below 1.3000 happen.

Today Critical level to watch:

Support: 1.3000, 1.2800

Resistance: 1.3125, 1.3250

USD/JPY

USD/JPY stick near daily SMA 200 after the breakout lower this week. The pair waiting for a trigger for the next movement. It could move either way upward or lower from the SMA 200. Traders will wait for U.S job data today and the weekly close to getting more clue.

Today critical levels to watch:

Support: 111.00, 110.50, 110.00

Resistance: 112.00, 112.50, 112.14, 112.50

AUD/USD

AUD/USD closed at 0.7000 and no breakout yet. Today, the bear attempt to push the price further lower but no strong breakout yet. The pair will wait for U.S job data today before deciding on the next direction. Our expectation is a breakout below 0.7000 followed by retest on the level before the further bearish trend.

Today critical levels to watch:

Support: 0.7000

Resistance: 0.7080, 0.7160, 0.7200