FX.co ★ Daily analysis of USDX for April 04, 2014

Daily chart: The USDX remains strong in the current bullish bias above the support level of 80.11, so it is very likely that the USDX rises to the resistance level of 80.62, where the 200-day moving average is located. If the USDX does make a breakout at that level, it would be expected to rise to the level of 81.50. The MACD indicator is in positive territory.

H4 chart: The USDX is trying to form a lower high pattern above the 80.44 level. If the USDX does make a breakout on the resistance level of 80.58, it's expected to rise to the level of 81.32. Furthermore, if USDX is able to consolidate below the support level of 80.35, it's expected to fall to the level of 80.15. The MACD indicator is in positive territory.

H1 chart: The USDX has made a breakout at the level of 80.35, so it is very likely that the USDX will rise to resistance level of 80.59. If the USDX does make a breakout at that level, it would be expected to rise to the level of 80.73. The USDX remains above the 200 SMA and MACD is in negative territory.

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 80.59, take profit is at 80.73, and stop loss is at 80.44.