FX.co ★ Daily analysis of USDX for June 02, 2014

Daily chart: The USDX is trying to consolidate again below the 200 SMA, although we must bear in mind that the USDX could be performing a corrective movement towards a bullish trend. If the USDX does make a breakout at the support level of 80.11, it's expected to fall to the level of 79.19. The MACD indicator is in the overbought zone.

H4 chart: The USDX is finding support at the 80.35 level. Now, it is likely to make a bullish rebound USDX at this level, although this area has resulted in the sideways movements for the USDX. For now, we recommend caution when placing buy orders below the resistance level of 80.60. The MACD indicator is in negative territory.

H1 chart: The USDX has made a bullish rebound above the 200-day moving average, after falling below the level of 80.50. Now, one would expect that the USDX will try to climb back up to the 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 MACD indicator is in neutral 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 80.35, take profit is at 80.59, and stop loss is at 80.10.