The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (

fxtechstrategy.com

) -- The outlook for the dollar index remains to the downside, even though it is consolidating off its recent low at the 72.69 level.

The index continues to maintain its long-term downtrend as it looks to end the mentioned consolidation and then trigger its long-term weakness that is now on hold.

The 72.69 level, the index's early May low, comes in as the initial support, with a violation of that level setting the stage for a run at 71.50, the index's July 2008 low, and then 70.79, its 2008 low.

> > Bull or Bear? Vote in Our Poll

Alternatively, a break and hold higher than 76.71 must be established to allow the index to strengthen further toward 77.38 and possibly higher.

All in all, although the index continues to consolidate, its overall long-term outlook remains to the downside.

-- Written by Mohammed Isah

.

>To contact the staff member responsible for this article, click here:

Ross Snel

.

>To follow the writer on Twitter, go to

http://twitter.com/fxtechstrategy

.

>To submit a news tip, send an email to:

tips@thestreet.com

.

Mohammed Isah is a technical strategist and head of research at FXTechstrategy.com, a technical-research Web site. He has been trading and analyzing the foreign exchange market for the past seven years. He formerly traded stocks before crossing over to the forex market, where he worked for FXInstructor LLC as a technical analyst and head of research before joining FXTechstrategy.com. He has written extensively on the forex market and technical analysis and his articles have been featured in The Technical Analyst Magazine, The Forex Journal Magazine, The International Business Times and FXstreet.com. At FXTechstrategy.com, he writes daily, weekly and long-term technical commentaries on currencies and commodities, which are offered to its clients. He also produces

The Professional Suite

for his subscribers. He provides full coverage of the forex market with specific focus on G10 currencies as well as the commodities markets, with focus on five key commodities.