11.12.201709:58 Forex Analysis & Reviews: Ichimoku cloud indicator analysis of USDX for December 11, 2017

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

The Dollar index has hit the first important resistance area and is turning back downwards. From last week when we reached our 92.50 target in the index, we said a strong bounce should follow but bulls will also need to be careful in case we see a rejection at 94-94.15 area.

Black rectangle - support area

The Dollar index has broken below the 4-hour tenkan-sen. This is an initial reversal signal. Support is at 93.55. Next is at 93.40. Resistance remains at 94-94.15. Important short-term support is at 93-92.80. A break below this area will cancel my bullish view for 96-97.

The Dollar index reached our target of 92.50 and bounced as expected. Now price has reached the first important resistance area of 94. This area is crucial if we are to see a bigger bounce towards 96-97. Bulls will need to break above it, otherwise a strong rejection here will open the way for a move below 90. Confirmation for this bearish scenario will come on a break below 92.80-93 support area.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.