EUR/USD is finally going down after a minor range movement. Price seems unstoppable on the short term as the dollar index has jumped above the 92.49 static resistance. The pair is trading in the red and should hit fresh new lows in the upcoming days. The dollar index moved sideways signaling a potential rebound.

The behavior has changed on the USDX (higher lows), but we still need a confirmation that will really start a reversal. USDX is trading in the green and is trading at 92.70 level, could hit a dynamic resistance in the upcoming hours, we’ll see how will react because a valid breakout will confirm a reversal.

The European currency also dropped because the German Ifo Business Climate failed to impress today, dropped from 115.9 to 115.2 points in September.The Euro wasn’t impressed at all by the ECB President Draghi’s speech about the economy and monetary policy before the Europen Parliament Economic and Monetary Affairs Committee, in Brussels.

Price is driven by the technical factors as we had a very poor economic calendar today, but you should be aware of a high volatility tomorrow as the US is to release the high impact data.

Price is trading in the red right now and should approach and reach the confluence area formed at the intersection between the median line (ml) of the ascending pitchfork with the median line (ml) of the descending pitchfork.  A breakdown through the mentioned confluence area will accelerate the sell-off.

Personally, I believe that will breakdown below the mentioned support levels if will touch them, you can see that the rate failed to retest the median line (ml) of the ascending pitchfork in the last attempt.

I’ve said in the last reports that the price should drop again in the upcoming period after the failure to stay above the upper median line (uml) of the ascending pitchfork.

Technically, it should drop much deeper on the short term, I believe that only the fundamental factors could turn it to the upside again.