Daily analysis of USDX for July 06, 2016

USDX made a rebound above the 200 SMA on H1 chart and the bullish momentum could extend toward the 97.74 level in coming days. However, a strong supply zone is currently in place at this stage. Eventually, the index will try to perform another decline to the support level of 95.20. MACD indicator is in positive territory.

USDXH1.png

H1 chart’s resistance levels: 96.60 / 97.74

H1 chart’s support levels: 95.89 / 95.20

Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish candlestick; the resistance level is at 96.60, take profit is at 97.74, and stop loss is at 95.47.

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