Daily chart: The USDX made a bullish rebound above the support level of 80.62 and now it is very likely to go up to the 200 SMA. Uncertainty still dominates in the USDX's movements, but this week will be decisive for the general trend of the USDX, because economic data so important for the U.S. economy will be published. If the USDX manages to consolidate above the SMA 200, it's expected to rise to the level of 81.50. The MACD indicator is in neutral territory.
H4 chart: The USDX has managed to consolidate above the 200 SMA and now the USDX is forming a lower high pattern below resistance at 80.94. It is very likely that the USDX rises to the bullish trend line near the psychological level of 81.00. Furthermore, if the USDX achieves in break the support level of 80.87, it's expected to fall to the level of 80.75. The MACD indicator is still in positive territory.
H1 chart: The USDX is trying to break the resistance level of 80.93. If successful, it is expected to rise to the level of 81.09. On the other hand, if the USDX makes a bearish rebound from the current levels, it would be expected to fall to support at the 80.73 level, where the 200 day moving average is located. The MACD indicator is entering extreme overbought zone and in negative territory, so it may invalidate our bullish outlook in the coming hours and we recommend vigilance.
Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USDX Index breaks a bearish candlestick; the support level is at 80.93, take profit is at 81.09, and stop loss is at 80.77.
