Ichimoku indicator analysis of USDX for April 20, 2017


The US dollar index has not bottomed yet. The trend remains bearish. I expect the index to decline further as we are about to test very important long-term support levels. At 98.80-99 price level many things about the medium- and longer-term trend will clear up, and we will have a better picture of the most probable scenario.

Red line – resistance

Blue lines – bearish channel

The dollar index is making lower lows and lower highs. The price is below the 4-hour Kumo cloud and the kijun-sen (yellow line indicator) while trading around the tenkan-sen. The short-term resistance is at 99.95 while the support lies at 99.40. I expect the dollar index to make a new low towards 99.


Red line – resistance

Black line – support

Green line – long-term support trend line

The dollar index is approaching the important junction where the long-term trend line is converging with the black trend line support. The price is still above the weekly Kumo cloud support, maintaining the bullish trend. However, a weekly close below the kijun-sen and a break below the green trend line will increase the chances of a bigger bearish reversal and trend change.

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

Source:: Ichimoku indicator analysis of USDX for April 20, 2017

About the Author
InstaForex brand was created in 2007 and at the moment it’s a top choice of more than 2,000,000 traders. More than 1,000 clients open accounts with InstaForex every day. All InstaForex clients get great opportunities for effective trading on the forex market, as well as on-time technical and customer support

Leave a Reply