Daily analysis of USDX for February 06, 2018

The index continued with the bullish consolidation above the 89.30 handle across the board and it looks like a possible leg higher could develop in coming hours. The resistance zone of 90.63 could be challenged in further sessions, but the downside pressure continues to be the dominant force, so the critical level of 87.88 could be reached soon.

H1 chart’s resistance levels: 90.63 / 91.75

H1 chart’s support levels: 89.36 / 87.88

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 89.36, take profit is at 87.88 and stop loss is at 90.81.

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

Source:: Daily analysis of USDX for February 06, 2018