U.S dollar index maintain the position and not continuing the bearish trend yet. The index might turn higher to retest the 100.00 level. No change to the situation yet, when the index reach 100.00 level and produce bearish reaction, traders could enter short positions in U.S. dollar. In the medium-long term, we still see the index resume the bearish trend to print new lower swing low.
EUR/USD
EUR/USD return above the 1.1500 level today and might settle the week inside 1.1500 – 1.1580 area. The pair bullish trend has not broken yet, which mean there is chance of bullish continuation next week. On the upside, 1.1710 and 1.1820 will become the target to watch.
GBP/USD maintain the close inside 1.3450 – 1.3600 area, and it is set to close the week inside the range. The pair ranging situation might continue inside the range, and traders could continue to use the range to apply range trading strategies with bullish bias. We expect the pair to resume the long-term bullish trend but open for the chance of movement toward 1.3250. As long as there is no lower swing low or close below daily SMA 200, the pair could continue the bullish trend.
USD/JPY moving higher above the 145.00 resistance level, which mean the pair could continue upward to retest the green box area. On the upside, 150.00 might become the major level to watch. If the pair form a strong bearish reversal pattern, then traders could enter short positions. As the current upward movement is a corrective movement, traders who enter long positions will stay cautious of sudden bearish reversal.
AUD/USD turn lower and back inside the green box area. The pair might test the daily SMA 200 soon and might extend the bearish movement toward the bottom of green box area. As mentioned before, traders will use the bearish movement as chance to enter long positions. The daily SMA 200 and the bottom of green box area is the place to look for long positions.
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