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Daily analysis of USDX for January 05, 2016

On a short-term basis, the USDX has been doing some bullish moves above the support level of 98.66, after gaining strong momentum around the 200 SMA to the upside and now we can expect a rally towards the 99.07 level to test again that high. We cannot discard a pullback that could be extended to the support level of 98.66. The MACD indicator is at the positive territory.

USDXH1.png

H1 resistance levels: 98.90 / 99.07

H1 support levels: 98.66 / 98.14

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 98.90, take profit is at 99.07, and stop loss is at 98.72.

The material has been provided by InstaForex Company - www.instaforex.com