First of all I would like to wish you a healthy new year with lots of good trades!
Markets are definitely celebrating the start of the year and the Dollar is trading lower accordingly. The next level of support for the Dollar-Index (DXY) comes in between 102 and 101. Around these may/jun22 lows I would get rid of Dollar shorts at the latest if I had any. Below that is just the big 100 treshold, above which it may make sense to look for Dollar longs in selected crosses.
EURUSD -- 1.0743
The Euro is bid against the Dollar above 1.0500 what I had already suspected for the new year: “From a technical point of view, the Euro could initially run to 1.1000 in the new year,..” (Market update #13). Currently trading at 1.0743 there is still some room to the upside. But with Powell ahead this european evening and looming US CPIs on Thursday there is also some event risk. So the rally could be over in the short term and it remains to be seen if the Euro is strong enough to break out above 1.0800 resistance. Nonetheless, a rally towards 1.10/1.12 would be a very good level to short the Euro for a larger move.
GBPUSD -- 1.2176
The currency pair has failed to close above 1.2200 since mid-December after several attempts. Leaning against this level is therefore likely to become increasingly risky and shorts should be covered with thight stops. Above the 200 dma (1.2010) and 50 ema (1.1976) Sterling is well supported but I would at least wait for a dip down to the mid Bollinger band (1.2098) if I wanted to be long.
AUDUSD -- 0.6901
After several attempts last year, the Aussie finally made it past the 200 day line on Friday. So the short scenario is over for now and the 200 dma (0.6838) should be seen as support together with the white pivot point line (0.6829). With regard to the stock market rally since October 2022, however, it is also surprising in the big picture that the high beta currency Aussie is not much higher. So let's wait and see what the break of the 200-day line is ultimately worth.
Good luck,
Sebbo