We can see a very huge progress of the bullish bias in the USDX on the daily chart as this instrument is very close to reaching the resistance level of 96.96 in a rally that we expected recently. If the USDX breaks that zone, we could expect a rise to the level of 98.01, an important monthly resistance level. The MACD indicator is favoring this outlook.
A bullish consolidation is taking place on the H1 chart. We also can see that the USDX is trying to reach the resistance level of 96.85 and below that level we could expect a bullish pattern formation. Probably, the instrument could make a retracement to test again the support level of 96.08, but our intraday bullish outlook stays alive.
Daily chart's resistance levels: 96.96 / 98.01
Dailychart's support levels: 95.45 / 94.18
H1 chart's resistance levels: 96.85 / 97.93
H1 chart's support levels: 96.08 / 95.52
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 96.85, take profit is at 97.93, and stop loss is at 95.76.
The material has been provided by InstaForex Company - www.instaforex.com
