06.03.201402:07 Forex Analysis & Reviews: Daily analysis of USDX for March 06, 2014

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Daily chart: The USDX has encountered strong resistance at the 80.11 level and now the USDX is trying to end to form a higher low pattern below that level. If successful, it is expected to fall to the level of 79.60. On the other hand, if the pair manages to make a strong breakout in the resistance level of 80.11, it's expected to rise to the resistance level of 80.62. The MACD indicator is in neutral territory.

H4 chart: The USDX has established below the level of 80.09 and now it is very likely that the USDX falls to the support level of 79.93. Furthermore, if the USDX is able to consolidate above the level of 80.15, it's expected to rise to the level of 80.35. For now, it is very likely that the USDX continues to rise, as yet, it has respected the bullish trend line on this chart. The MACD indicator is in the overbought zone.

H1 chart: The 200-day moving average has served as strong resistance on the USDX, so it is very likely that the USDX falls to the support level of 79.88. If the USDX does make a breakout at that level, it is likely to fall to the level of 79.64. On the other hand, if the USDX does make a breakout on the resistance level of 80.15, it's expected to rise to the level of 80.35. The MACD indicator is in negative territory.

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USD Index breaks with a bearish candlestick; the support level is at 79.88, take profit is at 79.64, and stop loss is at 80.12.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.