USDX (USD Index)
The U.S. dollar index is seen moving down before the announcement of U.S. employment data. Market players will wait for the release of employment data to determine the direction of movement. Strong labor data is positive for the U.S. dollar index because it provides room for the Fed to raise interest rates. If the index continues its bearish correction then 105.00 could become a downside target.
EUR/USD
EUR/USD rose above 1.0500 and is now trying to recover. The pair has returned near the opening point this week. If the increase continues until the weekly close and the pair closes near 1.0650 then the situation could become bullish in next week’s trading.
Today’s critical levels to watch:
Support: 1.0500
Resistance: 1.0650, 1.0800, 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD closed bullish in yesterday’s trading near 1.2200. The pair is still in the 1.2000 – 1.2200 area and will now wait for the reaction after the release of employment data. An increase and close above 1.2200 is positive and will confirm the continuation of the bullish movement in next week’s trading. Conversely, a strong bearish reaction could bring the pair down to test the 1.2000 level.
Today’s critical levels to watch:
Support: 1.2100, 1.2000
Resistance: 1.2200, 1.2625, 1.2800
USD/JPY
USD/JPY continues to weaken after the reaction from the 150.00 point. Market players are worried that the pair will experience intervention by the BOJ which will cause weakness. U.S. labor data release also causes market players to turn cautious. If the pair still rises and closes above 150.00 then there is a chance for the bullish trend to continue.
Today’s critical levels to watch:
Support: 147.00, 145.00, 141.00
Resistance: 150.00
AUD/USD
AUD/USD made a bullish correction and has reached the previously broken support point. The pair will stick near the current point ahead of the U.S. employment data announcement. If the pair can continue its upward movement and close near 0.6500 then the situation may turn bullish.
Today’s critical levels to watch:
Support: 0.6170, 0.6000
Resistance: 0.6500, 0.6700, 0.6750, 0.6820, 0.7000