The daily outlook is telling us
about the possibility of a sideways consolidation in favor of a bullish bias. Currently, the USDX is doing a kind of pullback and is
testing the support zone of 96.97. From that level, it could start
another rally which could last until the resistance level of 98.08,
where another strong resistance is located.
In our short-term outlook, the Index
is still doing some corrective moves in favor of a very strong
bullish bias in the H1 chart. The current structure is still calling to
the upside, as the USDX is trading above the 200 SMA. For now, we
should expect a test of the resistance level of 97.60, but it
won’t be strange to see a pullback until the level of 96.90.
resistance levels: 98.08 / 98.64
support levels: 96.97 / 95.74
H1 chart’s resistance
levels: 97.16 / 97.97
H1 chart’s support levels: 97.16
Trading recommendations for today:
Based on the H1 chart, place
orders only if the US Dollar Index
level is at 97.60,
take profit is at
and stop loss is at 97.25.
The material has been provided by InstaForex Company – www.instaforex.com