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05.10.201509:51 Forex Analysis & Reviews: USDX technical analysis for October 5, 2015

Long-term review

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The US dollar index was hurt seriously on Friday after the NFP number was announced. The greenback got hit as the price was just below the resistance of 96.60. The price got rejected and made a pullback towards 95.25. Bulls stepped in and held the price inside the longer-term triangle pattern. A strong bounce followed as the price entered a buy area.

Red line - resistance

Green line - support

The US dollar index was rejected at the red trend-line resistance. The price pulled back, but held above the upward sloping trend-line support. The price is inside the Ichimoku cloud on the 4-hour chart so the trend is not clear yet. However, a positive point for bulls is the fact that the index made a higher low and the price is bouncing.

Red line - resistance

Green line - support

The weekly chart continues trading inside the bullish flag pattern. The price got rejected at the kijun-sen weekly resistance, but it has remained above the tenkan-sen and the Ichimoku cloud. The level of 96.60 is important resistance that will give an important bullish signal if broken.

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