Daily analysis of USDX for January 23, 2018

The index is still holding the lows from January 19th and it seems we could expect a rally to test the 200 SMA on H1 chart. The downside continues to be the dominant bias and a moving average could act as a strong dynamic resistance. The nearest support lies at the 89.36 level, where bears could gain traction to continue lower.


H1 chart's resistance levels: 91.75 / 92.57

H1 chart's support levels: 90.59 / 89.36

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USD Index breaks with a bearish candlestick; the support level is at 90.59, take profit is at 89.36 and stop loss is at 91.81.

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