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08.05.2015 02:49 PM
Daily analysis of USDX for May 08, 2015

The index is calling for the changed current bias, which is bearish, because the level of 93.95 has already provided a good bottom for the USDX. We can confirm this idea only if it does a breakout at the resistance zone of 95.00 and a rally towards thelevel of 96.30 in the medium term. Also, the 200 SMA is still slightly bullish.

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In the H1 chart, the USDX is trying to reach the 200 SMA, where it should find solid resistance for the short term. Remember that the zone of 93.85 is a good bottom and the place where the losses were contained. For now, we should remain cautious, as the bearish risk is still there, but it could be invalidated with a breakout at the level of 95.34.

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Daily chart's resistance levels: 95.00 / 96.30

Dailychart's support levels: 93.95 / 92.64

H1 chart's resistance levels: 95.34 / 95.94

H1 chart's support levels: 94.70 / 93.85



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 94.70, take profit is at 93.85, and stop loss is at 95.56.

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