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Daily analysis of USDX for August 02, 2016

USDX is doing a rebound above the support level of 95.51 and it could test the resistance zone of 95.93 in coming hours. The overall structure is still bearish, as the index is trading below the 200 SMA at H1 chart and next bearish target after a lower breakout could be the 95.02 level. However, if the index breaks the 95.93 level, then it can rally towards the 96.36 level.

USDXH1.png

H1 chart's resistance levels: 95.93 / 96.36

H1 chart's support levels: 95.51 / 95.02

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USD Index breaks with a bearish candlestick; the support level is at 95.51, take profit is at 95.02 and stop loss is at 96.01.

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