USDX (USD Index)
U.S dollar index erased the losses and almost return to the weekly opening level. Although rate-cut planned and the situation looks dovish, the index movement seems countering the overall situation. If the index continues upward and print new higher swing high, then there is a chance of 100.00 retest. We still expect the index to resume the bearish trend but open for bullish correction to resistance level.
EUR/USD
EUR/USD back below the 1.1820 level and return to the 1.1710 – 1.1820 consolidation area. The pair long-term trend is bullish and current bearish correction might provide traders a chance to add more long positions. Traders who want to enter long positions will place stop order below 1.1580.
Today’s critical levels to watch:
Support: 1.1710, 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1820
GBP/USD
GBP/USD return inside the 1.3450 – 1.3600 area where the bearish movement has moderate momentum. Under the current situation, it is better to let the bear drive the pair lower to support level. When there are bullish reactions near support level, traders could add long positions.1.3250 and the daily SMA 200 will become the invalidation level for bullish trend.
Today’s critical levels to watch:
Support: 1.3450, 1.3330, 1.3300, 1.3250, 1.3125, 1.3050, 1.3000
Resistance: 1.3600, 1.3800, 1.4000
USD/JPY
USD/JPY erased all the losses and return inside the range. It seems the bull will attempt to breakout above 150.00 and the daily SMA 200. As we mentioned before, if the pair could break out and close above both levels, print a new higher swing high, then the situation might turn bullish. Nevertheless, we still expect the pair to continue the bearish trend to target 145.00 and 142.00. On the upside, the close above the green box area will become confirmation that the bearish trend has changed.
Today’s critical levels to watch:
Support: 145.00, 142.00,
Resistance: 149.20, 150.00, 151.00
AUD/USD
AUD/USD got rejected from the 0.6700 level and there is bearish follow-through. The pair might reach the green box area soon. We will wait for reaction inside the green box area for now. If the bearish momentum fading and there is strong bullish reactions, then it is the sign to start entering long positions. On the lower side, violation below 0.6500 might become confirmation that the trend has changed again to bearish.
Today’s critical levels to watch:
Support: 0.6500, 0.6350, 0.6250, 0.6000
Resistance: 0.6700