On the daily chart the USDX is trying to find support at the level of 85.18, even though the instrument remains strong in our current bullish outlook. However, the USDX has formed four fractals at the resistance level of 86.20. The USDX could make a breakout at the
support level of 85.18 to fall to the level of 84.29. The MACD
indicator remains in negative territory.
Daily chart’s resistance
Daily chart’s support
The USDX is trying to form a lower low
pattern below the 200 SMA on the H1 chart. However, the USDX is
finding strong support at the 85.27 level, a level that could serve
as a strong support zone for the USDX to consolidate again above the
200-day moving average, but the next target in the bearish trend
remains the 85.03 level.
H1 chart’s resistance levels:
85.49 / 85.73
H1 chart’s support levels:
85.27 / 85.03
Trading recommendations for today:
Based on the H1 chart, place
orders only if the USD Index
level is at 85.27,
take profit is at
and stop loss is at 85.49.
The material has been provided by InstaForex Company – www.instaforex.com