USDX (USD Index)

A close below daily SMA 200 happened in the U.S dollar index. The index might continue its weakness and target the bottom of the channel. At the current time, the index sticks near the averages and trying to close above it. If a close above the averages happen then the U.S dollar index might start a bullish bounce.

News to watch

For full outlook for this week, you can follow Forex Outlook For The Week 21 – 25 October 2019

EUR/USD

EUR/USD extends its gain and closed inside 1.1120 – 1.1185 range last week. The pair opened lower as Brexit situation reach a roadblock again after the UK parliament rejected Boris Johnson Brexit’s draft and obliged the PM to request an extension on the Brexit deadline. EUR/USD might trade between 1.1120 – 1.1185 until further results announced.

today critical levels to watch:

Support: 1.1120, 1.1000, 1.0900

Resistance: 1.1185

GBP/USD

GBP/USD opened lower after the rejection of the Brexit draft. This week will become a major event for the pair as the market will wait for either for extension of Brexit deadline or Hard-Brexit. GBP/USD might trade between 1.2800 – 1.3000 for now.

Today Critical level to watch:

Support: 1.2800, 1.2625, 1.2600, 1.2500

Resistance: 1.3000

USD/JPY

USD/JPY corrected lower from 109.00 and SMA 200 resistances. The pair holding out against bearish pressure today and trying to reverse the direction. We might see another test on 109.00 and the daily SMA 200 resistances soon.

Today critical levels to watch:

Support: 107.40, 107.00, 106.70

Resistance: 109.00

AUD/USD

AUD/USD moves further upside after the breakout above its bearish channel. The pair direction turned positive and soon will test September high. In the medium-term, it might continue upward and reach daily SMA 200 and 0.7000.

Today critical levels to watch:

Support: 0.6800, 0.6750, 0.6700

Resistance: 0.6900