The Dollar index remains in an uptrend, but the strong uptrend is showing signs of fatigue. There are some indications that bulls should be very cautious as we could see a small pullback for a few days. Long-term trend remains bullish. Bullish flag target remains at 91 and stop for longs at 87.60.
Red lines = trading range
The Dollar index is trading inside a range between 90.18 and 89.60. Price is above the Ichimoku cloud and trend remains bullish for the short-term. Breaking below 89.60 could push the index towards 89 but this will probably be a buy opportunity. Breaking above 90.18 will probably push the index towards 91 and we will raise our short-term trailing stop to 89.70.
Red line = support
The weekly chart remains bullish as long as price is above 87.60. The tenkan-sen support at 88.50 is the first weekly support. If it is broken, we should expect a test of the consolidation area at 87.60. Breaking below that support we should expect a push towards 85 where the kijun-sen is. Trend remains bullish on the weekly chart, and I still believe we can reach my 91 target.
Alexandros Yfantis is taking part in the “Analyst of the Year” award organized by MT5.com portal. If you like his article, please vote for him.
| ||
Performed by Alexandros Yfantis, Analytical expert InstaForex Group © 2007-2014 |
#USDX technical analysis for December 29, 2014
No comments:
Post a Comment