On the daily chart, we should note the strength showed by the resistance level of 96.57, which is still a very strong obstacle for coming advances in favor of bulls. That is why we still want to see a pullback until the support level of 95.74. However, a breakout over 96.57 will open the doors to a high of 97.57.
The USDX gave us a good intraday buying opportunity during Thursday's session as the Index is still looking for the resistance level of 96.65 in order to reach new highs. On the other side, that resistance is still strong, but the 200 SMA is stronger than that territory as we can see it on the H1 chart.
Daily chart's resistance levels: 96.57 / 97.57
Daily chart's support levels: 95.74 / 94.66
H1 chart's resistance levels: 96.38 / 96.65
H1 chart's support levels: 96.13 / 95.89
Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the US Dollar Index breaks with a bullish candlestick; the resistance level is seen at 96.38, take profit is at 96.65, and stop loss is at 96.13.
The material has been provided by InstaForex Company - www.instaforex.com