The USDX is holding the ground above the 200 SMA on the daily chart, and we could expect a test around the resistance level of 95.26. A breakout above it will make the index follow a mid-term rally, which could be pointing to a test in the resistance zone of 95.83. The MACD indicator remains at the negative territory.
On the H1 chart, the USDX is watching for strong bottom around 94.61 on an intraday basis, as the index is trading below the 200 SMA. This week should be the key one for the US dollar, as we can expect a lower continuation towards the level of 94.15. But be cautious with the current price action, as it is still showing some irregular signs.
Daily chart's resistance levels: 95.26 / 95.83
Daily chart's support levels: 94.36 / 93.16
H1 chart's resistance levels: 95.03 / 95.38
H1 chart's support levels: 94.61 / 94.15
Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the US dollar index breaks with a bearish candlestick; the support level is seen at 94.61, take profit is at 94.15, and stop loss is at 95.08.
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