Notice the dollar consolidated in a rectangle or head and shoulders patters from mid-January to early February. Since then it has sold off making lower highs and lower lows. In other words, the short-term trend is is bearish.
Here's the weekly chart which also shows a bearish trend:
We had a bear market rally from May to June of last year, but the buying pressure was not strong enough to break the downtrend. Also note that all three moving averages on this chart -- a 20, 50 and 200 day simple moving average -- are all pointing lower.
