Since May 2021, the dollar index has been in a strong bullish trend, forming a new twenty-year high at the 114.70 level. Then, we see a pullback, and the dollar index falls below the 38.2% Fibonacci support level for the first time in a year and a half. Inflation in the US is slowing down, which would mean a less aggressive increase in interest rates by the Fed. Such a scenario could further lower the dollar index to 50.0% and perhaps up to 61.8% of the Fibonacci level.