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Daily analysis of USDX for August 16, 2016

The US Dollar index had a very volatile session amid a flat economic calendar during American session. Currently, the index is being supported by the 95.51 level a breakout of which is likely to add downside pressure to the 95.19 level where our next target is located. However, in another scenario, a rebound should drive the greenback to test the 95.93 level where the 200 SMA is located according to the H1 chart.

USDXH1.png

H1 chart's resistance levels: 95.93 / 96.32

H1 chart's support levels: 95.51 / 95.19

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 95.19 and stop loss is at 95.83.

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