Bearish flag complete in the DXY

When the DXY was the Chart of the Day on the 14th of July, we explained the risk of a move below the 94.00 level. Today we complete the bear flag with the move below the 94.00 level and now the pattern is complete. Considering the daily RSI is oversold and the FOMC decision is on Wednesday, the DXY may consolidate the recent losses before the next move for the next 24-48 hours. At this point, the trend line from April 2011 comes in around todays lows which should be noted. A break and daily close below 93.40 level could see 92.00 in the weeks ahead.