USDX (USD Index)
The U.S. dollar index looks slightly weaker ahead of the Fed’s interest rate announcement. This situation occurs because the market expects no increase in interest rates and the Fed will keep interest rates at the current point until the end of the year. However, the Fed could issue another statement and the U.S. dollar index might resume its bullish movement. For now, traders should wait for the market reaction after the announcement.
EUR/USD
EUR/USD moved up from 1.0650 and will try to continue its bullish movement towards 1.0800. The pair’s bearish situation has not changed yet as long as there is no increase or close above the daily SMA 200. For now, traders will wait for confirmation of the movement after the Fed’s announcement. If the pair continues to weaken below 1.0650 then the bearish trend will continue.
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 was pushed down sharply today and formed a lower low. But the bearish pressure has reversed and the pair is now seen moving up above the opening point. If the pair can still continue its rise and make a close above the daily SMA 200 then the situation will turn bullish for the medium – long term.
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 looks bearish ahead of the Fed’s announcement. The pair is likely to move down towards 147.00 and test it. If there is a close below 147.00 then consolidation will take place between 145.00 – 147.00. Currently, there is no confirmation regarding the direction of the next movement so traders will still observe the market reaction after the Fed’s 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 climbed sharply above 0.6500. This is a good start for a bullish reversal opportunity. However, currently, there has been no announcement regarding the Fed’s interest rates so the situation could reverse. If the pair turns out to be pushed down and closes below 0.6500, it is possible that the direction of movement will continue to be bearish.
Today’s critical levels to watch:
Support:
Resistance: 0.6500, 0.6700, 0.6750, 0.6820, 0.7000