USDX technical analysis for November 12, 2015

The US dollar index moved towards the short-term support area we mentioned yesterday at 98.65. The price is bouncing towards the downward sloping resistance again. Medium- and long-term trends remain bullish.

Red line - short-term resistance

Blue lines - bullish channel

The US dollar index remains inside the bullish channel and above the Ichimoku cloud. The price bounced off the kijun-sen at 98.65 and is testing the resistance at 99-99.10. Breaking below 98.65 will push the index towards 98.30 and this is the most probable outcome in my opinion.

The weekly chart remains unchanged. The price has reached an important resistance area and a small pullback is justified at least. Bulls need to be very cautious in case this rejection becomes larger because there is also the scenario where we can see a test of the kijun-sen at 96.20. Taking profits is preferred for long positions or placing stops at 98.The material has been provided by InstaForex Company - www.instaforex.com