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Daily analysis of USDX for January 18, 2017

The index plummeted during Tuesday's session, as the bears gained traction to the south and so far, USDX is looking to reach the 100.00 level. If we see a breakout below that area, it's likely to see another push lower toward 99.00. To the upside, we can expect resistances at the 101.06 and 101.76 levels, and the latest area coincides with the 200 SMA at H1 chart.

USDXH1.png

H1 chart's resistance levels: 101.06 / 101.76

H1 chart's support levels: 100.01 / 99.00

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 100.01, take profit is at 99.00 and stop loss is at 101.03.

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