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Daily analysis of USDX for May 20, 2016

USDX had a rest after the FOMC meeting's rally during Wednesday's session, and the Index is pointing to test the resistance zone of 95.68, where a breakout can happen to test the 96.14 level. However, Friday could be flat for the Index, and it can still look to correct the recent upward moves on a short-term basis. The MACD indicator remains at negative territory, which does not coincide with the overall outlook on the US Dollar.

1463696216_USDXH1.png

H1 chart's resistance levels: 95.68 / 96.14

H1 chart's support levels: 95.22 / 94.89

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 95.68, take profit is at 96.14, and stop loss is at 95.20.

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