Comprehensive analysis of movement options of #USDX vs EUR / GBP & GBP / JPY & EUR / JPY (DAILY) on April 03, 2020

Let's pay attention to the situation with the dollar index and the options for the development of the movement of the main cross-instruments #USDX vs EUR/GBP & GBP/JPY & EUR/JPY (DAILY) on April 03, 2020.

Minor operational scale (daily time frame)

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US dollar index

Starting April 3, 2020, the movement of the USD index index #USDX will continue to develop within the equilibrium zone (98.85 - 99.91 - 101.15) of the Minor operational scale. The details of working out the above levels are presented in the animated chart.

In case of breakdown of the upper boundary ISL61.8 (resistance level of 101.15) of the equilibrium zone of the Minor operational scale forks, the upward movement of the dollar index will become possible to goals:

- ultimate Schiff Line Minor (101.80);

- Starting line SSL Minuette (102.15);

- maximum 102.98.

On the contrary, in case of breakdown of the lower boundary of the ISL38.2 (support level of 98.85) equilibrium zone of the Minor operational scale forks, it will be confirmed that further development of the #USDX movement will proceed in the equilibrium zone (98.85 - 97.770 - 96.50) of the Minuette operational scale forks with the prospect of reaching the SSL initial line (95.20) of the Minor operational scale forks.

The details of #USDX movement options from April 03, 2020 is shown on the animated chart.

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Euro vs Great Britain pound

The development of the movement of the "main" cross-instrument EUR / GBP on April 3, 2020 will be determined by the development and direction of the breakdown of the boundaries of the equilibrium zone (0.8660 - 0.8822 - 0.8970) of the Minuette operational scale forks. The details are shown in the animated chart.

In case of breakdown of the lower boundary of the ISL61.8 (support level of 0.8660) equilibrium zone of the Minuette operational scale forks, the downward movement of this cross-instrument can be continued to the boundaries of the equilibrium zone (0.8560 - 0.8430 - 0.8300) of the Minor operational scale forks.

Meanwhile, the breakdown of the resistance level of 0.8970 at the upper boundary of ISL61.8 of the equilibrium zone of the Minuette operational scale forks will lead to the resumption of the upward movement of EUR / GBP to the boundaries of the 1/2 Median Line channel (0.9110 - 0.9200 - 0.9280) of the Minuette operational scale forks.

The movement options of EUR / GBP from April 03, 2020, depending on the development of the 1/2 Median Line Minuette channel, are shown on the animated chart.

analytics5e86085cda7d3.jpg

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Great Britain Pound vs Japanese Yen

The development of the GBP / JPY cross-instrument movement from April 3, 2020 will be determined by the development and direction of the breakdown of the boundaries of 1/2 Median Line channel (132.50 - 135.20 - 138.00) of the Minuette operational scale forks. The details of the movement marking in this channel is shown on the animated chart.

In case of a breakdown of the lower boundary (support level of 132.50) of the 1/2 Median Line channel of the Minuette operational scale forks, then the movement of the cross-instrument will be directed to the boundaries of the equilibrium zone (131.30 - 127.80 - 124.50) of the Minor operational scale forks.

Alternatively, the breakdown of the upper boundary (resistance level of 138.00) of the 1/2 Median Line Minuette channel will confirm the further development of the GBP / JPY movement in the equilibrium zone (136.20 - 139.90 - 143.40) of the Minuette operational scale forks.

The markup of the GBP / JPY movement options from April 03, 2020 is shown on the animated chart.

analytics5e86087734ae7.jpg

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Euro vs Japanese Yen

The direction of breakdown and testing the range:

  • resistance level of 116.70 - the initial SSL line of the Minuette operational scale forks;
  • support level of 116.10 - local minimum;

will determine the development of the movement of the cross-instrument EUR / JPY from April 03, 2020.

Updating the local minimum (support level of 116.10) followed by the breakdown of the lower boundary of the 1/2 Median Line channel (115.84) of the Minor operational scale forks will send the downward movement EUR / JPY to warning line LWL38.2 Minor (112.50).

At the same time, with the joint breakdown of the resistance level of 116.70 and 1/2 Median Line Minor (117.10), the upward movement of this cross-instrument will become possible to be directed to the upper boundary of the 1/2 Median Line channel (118.40) of the Minor operational scale forks, as well as to the boundaries of the 1/2 Median Line channel (118.80 - 119.60 - 120.40) of the Minuette operational scale forks.

The markup of the EUR / JPY movement options from April 03, 2020 is shown on the animated chart.

analytics5e8608955993f.jpg

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The review was compiled without taking into account the news background. Thus, the opening trading sessions of major financial centers does not serve as a guide to action (placing orders "sell" or "buy").

The formula for calculating the dollar index :

USDX = 50.14348112 * USDEUR0.576 * USDJPY0.136 * USDGBP0.119 * USDCAD0.091 * USDSEK0.042 * USDCHF0.036.

where the power coefficients correspond to the weights of the currencies in the basket:

Euro - 57.6% ;

Yen - 13.6% ;

Pound Sterling - 11.9% ;

Canadian dollar - 9.1%;

Swedish krona - 4.2%;

Swiss franc - 3.6%.

The first coefficient in the formula leads the index to 100 at the starting date - March 1973, when the main currencies began to be freely quoted relative to e

The material has been provided by InstaForex Company - www.instaforex.com