This morning, the Dollar-Index (DXY) tested the July 13th high and has been offered ever since. It's hard to tell if this will form a double top, but it's definitely worth trying to short the Dollar here. Nonetheless, the momentum of Dollar appreciation has been tremendous again over the past nine trading days. In this respect, it should ideally turn quickly here. Below 107.80 things are definitely looking more relaxed for shorts. Above 109.29 you have to be very careful.
(source: fxstreet.com)
EURUSD -- 0.9932
For months you really only have to look at the 50 ema (1.0263) line. Every test has been unsuccessful and could be used as an entry into shorts. Of course, the breakout will succeed at some point, but it still seems too early to me. The currency pair closed below parity yesterday for the first time since November 2002. This is already an important event and should make it difficult for the Euro to recover quickly. And every big figure down makes it harder to get back up quickly.
GBPUSD -- 1.1778
The UK's double digit inflation numbers may not have helped, but it's the Dollar's particular strength that has weighed on the currency pair. Sterling is hovering around/above its recent support zone at 1.1760 and a daily close clearly below that treshold is critical for longs. Below this level next support comes in only at 1.1447/11 (March 2020 Corona lows).
USDJPY -- 137.33
Most market participants were already expecting 140 at the beginning of July. With the rally of the last few days, this scenario is once again within reach. The upper Bollinger band (137.76) delivers a minor barrier today but up to 138.80/139.40 there is not much resistance left. I would like to see the currency pair much lower, but it obviously remains a lengthy process.
Good luck,
Sebbo