Daily chart: The USDX is consolidating above the 200-day moving average, so it is very likely that the bullish trend is extended by a few more weeks in the USDX, but we must bear in mind that the USDX could find resistance at current levels, as the USDX formed a fractal last week at this level. However, the bullish trend is strong and this still shows no signs of a change in trend. USDX next target resistance may be at the level of 81.50. The MACD indicator is still in positive territory.
H4 chart: The USDX is forming a bullish pattern above the support level of 81.19. If the USDX managed to break the resistance at the level of 81.29, it is expected to rise to the level of 81.48. Furthermore, if the USDX does break the support level of 81.19, it's expected to fall to the level of 80.99. The USDX remains above the 200 SMA and MACD is in positive territory.
H1 chart: The nearest point of control is being formed in the resistance level of 81.40, so it is expected that this level will remain very strong. However, if the USDX manages to break the level of 81.40, it is expected to rise to the level of 81.58. On the other hand, if the USDX manages to break the support level of 81.09, it's expected to fall to the level of 80.93, which could jeopardize the current bullish trend. The MACD indicator is in extreme overbought zone and entering negative territory.
Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USDX Index breaks with a bullish candlestick; the resistance level is at 81.40, take profit is at 81.58, and stop loss is at 81.22.
The material has been provided by InstaForex Company - www.instaforex.com
For detail explanation and best discovery on market trends you may visit via Daily analysis of USDX for January 20, 2014 . Thanks for your support on Daily analysis of USDX for January 20, 2014
No comments:
Post a Comment