Ichimoku indicator analysis of USDX for October 11, 2017

The Dollar index made new lows yesterday interrupting the recent sequence of higher highs and higher lows that started back at 91. Short-term trend is now neutral as price has entered inside the 4-hour Kumo.

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Yellow rectangle - resistance area

Black rectangle - support area

In the 4-hour chart the Dollar index is in neutral trend as it is inside the Kumo (cloud). Next support level is at 93-92.90. Resistance is at 93.50-93.70.

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Black lines - bearish channel

On a daily basis, we have the first bearish confirmation as price has closed below the tenkan-sen (red line indicator). Still trading inside the bearish channel and being rejected at the upper channel boundary is a bearish sign. Daily support is at 92.80. Closing below it will be a very bearish signal implying new lows ahead.

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