The daily chart structure remains pointing to the upside, but the current pullback could extend towards the support zone of 96.57, as the Index is trying to correct that strong bullish bias held several weeks ago. The 200 SMA is still bullish and we should expect more upside in the long term, but for now, the bearish path could be the strongest one.
The USDX is expected to move sideways in the short term, because the Index is trading between the
price zone established by the 200 SMA on the H1 chart. Anyway, a breakout
below the support level of 97.12 will open doors to visit the level of 96.73, a zone which hasn’t been tested by the USDX since July 15.
resistance levels: 97.57 / 98.29
support levels: 96.57 / 95.63
H1 chart’s resistance
levels: 97.53 / 97.77
H1 chart’s support levels: 97.12
Trading recommendations for today:
Based on the H1 chart, place
orders only if the US Dollar Index
level is at 97.53,
take profit is at
and stop loss is at 97.31.
The material has been provided by InstaForex Company – www.instaforex.com