USDX (USD Index)
U.S dollar index currently undergoes a bearish correction after reaching the 110.00 level. The index might continue lower to test the 107.50 support level. If the index could produce a strong bullish reaction then traders could enter long positions. This month’s FOMC meeting might become the catalyst for the next movement in the U.S dollar index.
EUR/USD
EUR/USD trading upward, distancing itself from the parity level. It seems a bullish correction is happening right now with 1.0339 as an upward target. Traders will wait near the resistance level for a chance to enter short positions when the pair form bearish reactions. Traders who enter long positions near the parity level will protect the positions and slowly scale out of positions near the resistance level.
Today’s critical levels to watch:
Support: 1.0000
Resistance: 1.0339
GBP/USD
GBP/USD bounced from the 1.1450 support level and currently trading upward. It might extend the current bullish movement to target the 1.2000 – 1.2200 area. Traders will observe the pair reactions near the resistance area. If the pair form major bearish reactions then traders could enter short positions.
Today’s critical levels to watch:
Support: 1.1450
Resistance: 1.2000, 1.2100, 1.2200
USD/JPY
USD/JPY started a bearish correction with 139.30 as the bearish target. There is no continuation yet in today’s trading session. If the pair extends the bearish movement toward the support level and form bullish reactions then traders could enter long positions. As long as the pair continue printing higher high and higher low, there is no reason for traders to enter short positions.
Today’s critical levels to watch:
Support: 140.00, 139.30, 135.19, 135.00
Resistance:
AUD/USD
AUD/USD closed above the 0.6820 support level and looks to trade upward this week. The pair could continue the bullish movement and target the 0.7000 also 0.7160 resistance levels. If the pair could climb above 0.7160 then we will have confirmation of double bottom pattern which could change the long-term trend into bullish.
Today’s critical levels to watch:
Support: 0.6820, 0.6750, 0.6700
Resistance: 0.7000, 0.7160, 0.7300