FX.co ★ #USDX Technical analysis for November 21, 2014

The Dollar index continues to trade inside the trading range despite the bullish remarks by Mario Draghi in his earlier speech. The Dollar is trying to make an upward break out but for now it still trades below resistance. I remain neutral as long as we do not see a break out. Probably today will be the day of the break out above or below the critical levels.

Black line=support

Red line=resistance

The Dollar index is still inside the trading range. The cloud has become very thin and this implies that soon we will see a break out. So, we need to be patient and wait to see which direction the new trend will follow. The Dollar index has resistance at 88.15 and support at 87.15.

The bullish flag within the bullish flag is a very bullish sign that supports bulls and the target of 91. Bulls continue to have the upper hand as the ichimoku indicators remain in their favor. The trend is bullish as long as price remains above 87.15. I give more chances for the bullish scenario as the longer-term trend remains strongly upwards.