Nathan BatchelorThe US Dollar Index suffered its worst weekly decline since late-March last week as traders turned bearish towards the greenback.
US Dollar Index technical analysis shows that a major range break is in play while the price trades below the 98.80 level.
US Dollar Index medium-term price trend
The US Dollar Index came under heavy selling pressure last week as the greenback sold-off against most major currencies.
US Dollar Index technical analysis over the medium-term shows that a bearish triangle pattern breakout has taken place.
The daily time frame shows that a bearish breakout from a symmetrical triangle pattern is currently underway.
According to the size of the triangle pattern the US dollar index could soon test towards the 97.30 level, and the key swing-low, around the 96.00 level.
Traders should also be aware that the US Dollar Index is now trading below its 50-day moving average. This is a strong indication of more medium-term weakness ahead.
US Dollar Index short-term price trend
DXY analysis shows that the index has a strong bearish short-term trading bias while the price continues to trade below the 98.80 level.
The lower time frames continue to show that the index has broken from a horizontal price channel that has been in play since March this year.
According to the size of the horizontal price channel, the US dollar index could decline towards the 94.00 area over the short-term.
US Dollar Index technical summary
DXY analysis shows that a major range break has finally taken place. Further short and medium-term weakness is expected while the price trades below the 98.80 level.
