USDX (USD Index)
A close at the trendline leads traders to the neutral situation and prompt for more clue on U.S dollar index next movement. The index could either bounce from the trendline or continue sharply lower and break 96.10 support level.
OPEC meeting might become the possible mover, on the other hand, the domestic factor from the U.S might be limited as Thanksgiving holiday loom. Other possible movers might be Brexit development.
News to watch
05.00 AM UK Inflation Report Hearings
For full outlook for this week, you can follow Forex Outlook For The Week 19 – 23 November 2018
Technical Analysis
EUR/USD
EUR/USD bullish momentum has not receded yet after the pair secures another bullish close. The pair expected to continue its uptrend and reach 1.1500 – 1.1580. However, nearest bearish trendline will be under watch for a possible reversal. Traders might want to hold a long position and wait for a strong bearish reversal pattern before placing short positions.
Today critical level to watch:
Support: 1.1360, 1.1300, 1.1200, 1.1120
Resistance: 1.1500, 1.1580
GBP/USD
No much change in the situation of GBP/USD which is under pressure. The pair currently trying to survive the selling pressure at support 1.2800. A breakout below the level and fresh low below 1.2660 is the trigger for a new bearish trend in the pair. At the current time, all eyes placed on the Brexit deal between UK-EU. We might see some movement soon.
Today Critical level to watch:
Support: 1.2800, 1.2625
Resistance: 1.3000, 1.3050, 1.3125
USD/JPY
USD/JPY traded back inside 112.50 – 113.20 range and currently testing the bottom of the range. No confirmation for either breakout or bounce yet. We expect support will hold out and the pair will start ranging movement inside 112.50 – 113.20. However, a breakout downward also possible where the pair might find support at 112.00.
Today critical level to watch:
Support: 112.50, 112.00
Resistance: 113.00, 113.20, 114.50, 115.00
AUD/USD
AUD/USD slightly lower, outside of 0.7300 – 0.7330 range. Despite the lower movement, AUD/USD still has a chance to continue upward and make another test on the resistance 0.7300 – 0.7330. We think the pair might continue its movement near the resistance with little correction. However, buying at the current level is not suggested as it is buying into the resistance.
Today critical level to watch:
Support: 0.7160, 0.7100, 0.7040, 0.7000
Resistance: 0.7300, 0.7330