USDX (USD Index)
U.S job data is due to release today and the index takes the lower path before the news. A strong number will become a boost for U.S dollar bull to move index higher. On the other hand, weak data could lead the index lower to test trendline and 95.50 support.
News to watch
08.30 AM U.S Non-Farm Employment Change, forecast 194k job added. Unemployment Rate forecast stable at 3.7%
For full outlook for this week, you can follow Forex Outlook For The Week 29 – 2 November 2018
Technical Analysis
EUR/USD
EUR/USD bounced and left 1.1300 – 1.1360 support area and heading to 1.1500 – 1.1580 area. The pair maintains upward momentum and currently testing the red trendline. We think U.S job data will become the key news to watch today. EUR/USD could continue further higher or rejected from the trendline and it will depend on the result today.
Today critical level to watch:
Support: 1.1360, 1.1300
Resistance: 1.1500, 1.1580, 1.1600, 1.1710
GBP/USD
GBP/USD reached 1.3000 in one swoop and the pair currently stall near the resistance. There is more room higher toward the daily SMA 200 and 1.3250. However, the market will monitor U.S job data today to determine if GBP/USD could progress higher or restart its bearish trend from the current level.
Today critical level to watch:
Support: 1.3000, 1.2800, 1.2625
Resistance: 1.3050
USD/JPY
112.50 in USD/JPY acted as support level today and the pair reverses its downward movement before it reaches the support. Despite the bounce from the support level, USD/JPY hesitant to move higher when it near 113.20. We could expect the pair to hover between 112.50 – 113.20 until next momentum movement happen.
Today critical level to watch:
Support: 112.50, 112.00, 111.00, 110.50
Resistance: 113.00, 113.20
AUD/USD
AUD/USD turned bullish and it will be hard to reverse current bullish momentum. The pair expected to continue its upward movement until it reaches 0.7300 – 0.7330. However, a rejection from the red trendline on the daily chart could lead the pair down to test 0.7160. Traders could use 0.7160 as the level to take a long position. We will stay at long side except if a closure below 0.7160 happen today.
Today critical level to watch:
Support: 0.7100, 0.7040, 0.7000
Resistance: 0.7160, 0.7300