Daily chart: The USDX performed a bearish rebound at the resistance level of 83.22. However, there is still the possibility that the USDX follows up and if it manages to break this resistance level, it would be expected to rise to the level of 83.74. On the other hand, this could be the formation of a higher low pattern and if the USDX achieves in breaking the support level of 82.51, it is expected to drop to the level of 81.50, near 200 SMA. The MACD indicator is entering negative territory and there are still very strong bearish on the USDX.
H4 chart: The USDX is trying to break the strong resistance at the 83.17 level to climb to the next resistance level of 83.49. If the USDX manages to break that level, it is expected to rise to the level of 84.50. On the other hand, the USDX is trying to make a rebound in the SMA 200, but if the force overcomes bearish to bullish strength, it is very possible that the USDX to fall to the level of 82.15. The MACD indicator remains in positive territory and still there is no weakness in the current bullish trend.
H1 chart: Near the resistance at the 83.27 level, a Point of Control (POC) was formed. If the USDX manages to break this resistance, it is expected to rise to the level of 83.52. However, it is quite possible that the USDX continues very bearish due to the rebound it did in the SMA 200. If the USDX achieves in breaking the support at the 82.97 level, it would be expected to drop to the level of 82.67. The MACD indicator is in neutral territory and is indicating that the USDX is in an area crucial to the definition of its general trend, so we recommend caution in the intraday trading.
Fundamental Outlook: For today's session the Core CPI (Previous & Forecast: 0.2%) will be published at 12:30 GMT in the United States.
Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USDX Index breaks with a bearish candlestick, the support level is at 82.97, take profit is at 82.67, and stop loss is at 83.26.
