Daily chart: The USDX is within the range between 80.62 and 80.11 levels. If the USDX achieves in breaking the 80.11 level, one would expect a deep drop to the support level of 79.19, because the USDX is forming a higher low pattern. However, we must be very careful with the USDX, because this could change the general trend at any time. On the other hand, if the USDX manages to break the resistance at the 80.62 level, it would be expected to rise to the level of 81.50, to fill the gap. The MACD indicator is entering neutral territory.
H4 chart: In this chart, there is no clear trend for the USDX and this is dangerous, because the uncertainty is dominating the USDX 's movements at the moment. Any breakout in some of the supports or resistances, could be false. However, we recommend to follow the general bearish trend in the USDX, because it stays below the 200-day moving average. The MACD indicator is entering extremely oversold zone and is in neutral territory.
H1 chart: The USDX failed to break the support at the 80.15 level, where it quickly made a bullish rebound. Now, the USDX is trying to break the support level again and if it succeeds, it would be expected to fall to the level of 79.88. On the other hand, if the USDX manages to break the resistance at the 80.35 level, it would be expected to rise to the level of 80.59, near the 200 SMA. The MACD indicator is entering extremely overbought zone and in neutral territory.
Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USDX Index breaks a bearish candlestick; the support level is at 80.15, take profit is at 79.88, and stop loss is at 80.42.
