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Daily analysis of USDX for February 18, 2016

The USDX is finding strong dynamic support above the 200 SMA attempting to test a high around the level of 97.36. Currently, the bias is still pointing to the downside, as the index cannot consolidate again above the level of 97.36. The bearish scenario will push the USDX lower towards the level of 96.40. The MACD indicator is favoring that outlook.

USDXH1.png

H1 chart's resistance levels: 97.36 / 97.77

H1 chart's support levels: 96.80 / 96.40

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USDX breaks with a bearish candlestick; the support level is seen at 96.80, take profit is at 96.40, and stop loss is at 97.20.

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