We're waiting for a pullback of this instrument in the daily chart and the USDX could fall to the support level of 96.60 now, because the retracement could have an extension up to thit zone. Anyway, bulls are still strong and we should be prepared for a breakout to the upside at the resistance level of 98.01. The 200 SMA is still bullish.
The USDX had a bearish session on Wednesday, because it did a pullback at the resistance level of 98.36 and now is trading below the 200 SMA in the H1 chart. Anyway, we should consider this move as a corrective one but no a trend-change pattern, because we're still watching an alive bullish momentum in the overall bias.
Daily chart's resistance levels: 98.01 / 99.12
Dailychart's support levels: 96.60 / 95.19
H1 chart's resistance levels: 97.90 / 98.36
H1 chart's support levels: 97.70 / 97.50
Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish candlestick; the resistance level is at 97.90, take profit is at 98.36, and stop loss is at 97.44.
The material has been provided by InstaForex Company - www.instaforex.com
