U.S. dollar index resumes decline. - technical analysis - 18-12-2015

U.S. dollar index retreated in the short term, which comes after the index's failure to hold on above the level 98.98, which represents the ratio 23.6% of Fibonacci retracement levels for an ascending wave in the short term (from 93.82 to 100.57), along with an influx of negative signals from relative power indicators despite reaching oversold levels; but the index's settlement below the level 98.98 would pressure it negatively downward.

 

Therefore as long as the index trades below 98.98, we expect further decline, targeting thereafter the support of 97.99, which represents the ratio 38.2% of the same retracement levels mentioned earlier.