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Technical analysis of US Dollar Index for April 29, 2016

Technical outlook and chart setups:

The US Dollar Index dropped lower today towards 93.36 levels before pulling back higher. The index is seen to be trading at 94.43 levels, looking to form the pin bar candlestick pattern on 4H chart presented here. If the index manages to produce a bullish reversal here, potential remains for a rally through 95.20/30 levels at least. On the flip side, a continued drop lower would see bears pushing it lower towards 92.20/50 levels at least before turning higher again. It is recommended to remain cautiously long from current levels, with risk below 93.00 levels. Immediate interim support is seen at 93.30 levels, while resistance is seen at 94.00 levels respectively.

Trading recommendations:

Remain cautiously long now, stop below 93.00, target is open.

Good luck!

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