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23.05.2014 08:53 AM
Daily analysis of USDX for May 23, 2014

Daily chart: The USDX is trying to stay above the support level of 80.11 with the formation of a bullish pattern. It is very likely that the USDX rises to 200 SMA, where the USDX could make a pullback. However, if the USDX does make a breakout on the resistance level of 80.62, it's expected to rise to the level of 81.50. The MACD indicator is in positive territory.

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H4 chart: The USDX remains above the 200 SMA and the support level of 80.15. Now, the USDX is trying to make a breakout on the resistance level of 80.35. If successful, it is expected to rise to the level of 80.60. On the other hand, if USDX does a breakout level of 80.15, it would be expected to drop to the level of 80.09. The MACD indicator is in positive territory.

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H1 chart: The USDX has made a breakout at the level of 80.15, so the next target would be the resistance level of 80.35. If the USDX does make a breakout at that level, it would be expected to rise to the level of 80.59. On the other hand, if the USDX does make a breakout in the support level of 80.15, it is expected to fall to the level of 79.88, which is below the 200 SMA. MACD is in negative territory.

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Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish candlestick; the resistance level is at 80.35, take profit is at 80.59, and stop loss is at 80.11.

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