USDX (USD Index)
U.S dollar index turned lower ahead of core PCE data. The market is positioning itself on the probability of further lowering in inflation rate. If the inflation numbers indeed turn lower then the U.S dollar index might test and break the daily SMA 200. We are nearing the U.S. election & FOMC meeting too which will provide high volatility in the U.S. dollar index.
EUR/USD
EUR/USD bounced from the 1.0800 support level and currently trading near the daily SMA 200. The pair will attempt to break and close above the daily SMA 200 to indicate the start of a new bullish leg. If the pair could move upward with strong bullish momentum then traders could expect a bullish continuation in the upcoming week.
Today’s critical levels to watch:
Support: 1.0800, 1.0650
Resistance: 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD made a bearish reaction near the 1.3000 level yesterday which might indicate a bearish continuation. However, the pair looks trading upward today, though stay inside the previous day’s range. The pair might continue consolidating near the 1.3000 level for now. If the pair resumes the bearish movement then traders could wait near the daily SMA 200 and 1.2800 for bullish reactions to enter long positions.
Today’s critical levels to watch:
Support: 1.2800
Resistance: 1.3000, 1.3050, 1.3250, 1.3300, 1.3450
USD/JPY
USD/JPY turned lower after maintaining its bullish pressure for a few days. The pair will test the 151.80 support level and the daily SMA 200. A major bearish close below both levels might confirm a bearish reversal. Will the pair start a new bearish leg from the current level to target a new lower swing low? Alternatively, will the support levels hold out and the pair bounce upward to continue the bullish movement?
Today’s critical levels to watch:
Support: 150.00, 147.00, 145.00, 142.00, 141.00
Resistance: 155.00
AUD/USD
AUD/USD made a bullish attempt yesterday but no strong bullish movement yet. The pair might attempt to move upward to test the daily SMA 200. Traders will stay sideline for now and wait for reactions near the averages. If the pair gets rejected and turns lower with strong bearish momentum then the bearish trend could continue.
Today’s critical levels to watch:
Support: 0.6700, 0.6500
Resistance: 0.6750, 0.6820, 0.7000