USDX (USD Index)

U.S dollar index extends its weakness below 98.25 and touches 97.50 support level today. The index might continue its downward movement and reach daily SMA 200. At the current time, we have a bounce reaction. Will the index start moving higher and resume its bullish trend?

News to watch

08.30 AM U.S Philly Fed Manufacturing Index, forecast 7.3

For full outlook for this week, you can follow Forex Outlook For The Week 14 – 18 October 2019

EUR/USD

EUR/USD reaches 1.1120 resistance today which completes its bullish target. It is possible for the pair to continue upward and a breakout above 1.1120. On the upside, daily SMA 200 is the major resistance to watch. Short positions near the SMSA 200 might be the idea traders could adopt.

today critical levels to watch:

Support: 1.1000, 1.0900, 1.0800

Resistance: 1.1120

GBP/USD

GBP/USD on the path higher and reach the level near 1.3000 resistance today. The Brexit inspired bullish movement might continue as long as more positive development feed to the market. At the current time, GBP/USD might trade between 1.2800 – 1.3000 while waiting for a further upside breakout.

Today Critical level to watch:

Support: 1.2800, 1.2625, 1.2600, 1.2500

Resistance: 1.3000

USD/JPY

USD/JPY attempts to continue its bullish trend. But the pair hesitate near 109.00 and SMA 200. No suggestion for positions at the current time. The pair need either breakout or major bearish pattern at the current level before it will make momentum movement.

Today critical levels to watch:

Support: 107.40, 107.00, 106.70

Resistance: 109.00

AUD/USD

A major bullish bounce from the bottom of the blue box range (0.6750) happens today and AUD/USD launch toward the top of the channel. This movement might end the short-term bearish trend in the pair. However, the bull still needs a breakout above the top of the channel to confirm the bullish outlook.

Today critical levels to watch:

Support: 0.6800, 0.6750, 0.6700

Resistance: 0.6900