The USDX is forming a bearish pattern below the level of 88.63, which is a very strong resistance level. However, remember that this instrument is still alive in the current bullish bias, since the USDX is trying to make corrective moves to the support level of 87.35 in the medium term. The MACD indicator is moving into the negative territory.
Daily chart's resistance levels: 88.63 / 90.40
Dailychart's support levels: 87.35 / 86.20
On the H1 chart, the USDX is consolidated in the bullish trend above the 200-day moving average. However, the level of 88.71 has rejected the price action of this instrument in the short term. So, the USDX is likely to fall to the support level of 88.43. For now, caution is advised when placing sell orders above the support level of 88.43. The MACD indicator is entering the overbought area.
H1 chart's resistance levels: 88.43 / 88.71
H1 chart's support levels: 88.15 / 87.86
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 88.71, take profit is at 88.99, and stop loss is at 88.44.
The material has been provided by InstaForex Company - www.instaforex.com
