USDX (USD Index)

The index is in a neutral state before the Fed interest-rate decision. The current estimate expects a rate cut of 25 bps from 2.0% to 1.75%. If rate-cut happen it will put pressure on the index and we might see breakout below the daily SMA 200 also 97.50 support.

At the current time, it is better to wait for the market reaction after the release of interest-rate.

News to watch

For full outlook for this week, you can follow Forex Outlook For The Week 28 October – 1 November 2019

EUR/USD

EUR/USD stick near 1.1120 while waiting for further reactions. A close inside 1.1120 – 1.1185 area might trigger further upside in the pair. However, if the pair reacted bearishly today and close below Monday low then we could expect further weakness toward 1.1000.

today critical levels to watch:

Support: 1.1000, 1.0900

Resistance: 1.1120, 1.1185

GBP/USD

The pair mostly sideways between 1.2800 – 1.3000 and might not change its direction yet until breakout happens. Traders will continue to apply ranging strategies for now. On the downside, there is daily SMA 200 where traders could look for long positions. On the upside, 1.3250 might become the cap if the pair could breakout higher.

Today Critical level to watch:

Support: 1.2800, 1.2625, 1.2600, 1.2500

Resistance: 1.3000

USD/JPY

USD/JPY stays close to 109.00 and daily SMA 200 before the Fed interest-rate announcement. The pair will continue moveless for now. Will a breakout or rejection happens after the interest-rate announcement?

Today critical levels to watch:

Support: 107.40, 107.00, 106.70

Resistance: 109.00

AUD/USD

AUD/USD has initial bullish confirmation after the bounce from 0.6820 and the top of the channel. It still needs a close above the previous month high to confirm the clear breakout. Today, the pair might test the September high and provide traders will clue in the next direction.

Today critical levels to watch:

Support: 0.6800, 0.6750, 0.6700

Resistance: 0.6900