USDX (USD Index)
The U.S. dollar index weakened last Friday. However, the situation changed quickly and the index managed to recover by closing near its opening point. It seems that bullish pressure will continue to be maintained ahead of the Fed meeting. This week, traders will focus on the release of CPI data which will show the inflation situation. An increase in inflation at this time is not good news so traders will monitor closely the release of this data.
EUR/USD
EUR/USD fell below the daily SMA 200 and continues to be under bearish pressure. There is no bullish reversal yet so there is a possibility that the pair can reach 1.0650 in the near future. For now, traders will continue to maintain bearish sentiment with 1.0650 as the downside target. When the pair can halt the bearish pressure and bounce from that point, it is an opportunity for traders to enter a long position.
Today’s critical levels to watch:
Support: 1.0650
Resistance: 1.0800, 1.0900, 1.1000, 1.1120, 1.1185, 1.1300, 1.1360
GBP/USD
GBP/USD is currently trading near the daily SMA 200 point and will wait for further developments. If the pair can bounce up from that point then the bullish trend can continue. As long as there is no strong bullish confirmation, traders should not enter a position first. It is estimated that the pair get confirmation on the next direction after the Fed interest rate announcement.
Today’s critical levels to watch:
Support: 1.2200
Resistance: 1.2625, 1.2800, 1.3000, 1.3250, 1.3300, 1.3330
USD/JPY
USD/JPY was able to stay above 147.00 in last week’s trading. This week, the pair opened lower and is currently near 147.00. If the pair makes a strong bearish close then the decline may continue towards 145.00. Consolidation between 145.00 – 147.00 is likely to take place ahead of the Fed’s interest rate announcement.
Today’s critical levels to watch:
Support: 145.00, 141.00, 140.00, 139.30, 137.70, 133.00
Resistance: 147.00
AUD/USD
AUD/USD continues to be under bearish pressure and risks further weakness forming a lower swing low. There has been no confirmation of a bullish reversal so traders should continue to wait for the pair to successfully rise and form a higher swing high point. A close above 0.6500 could be an early indication of a bullish reversal.
Today’s critical levels to watch:
Support:
Resistance: 0.6500, 0.6700, 0.6750, 0.6820, 0.7000