The dollar index hit a two-year high to 84.1 late July. Low trading volumes during August and the announcement last week of new measures by the Fed led to a decline in the dollar. However, good U.S. economic data could delay the implementation of a new quantitative easing. Investors expect more details on the future plan of the Fed on Ben Bernanke's speech at Jackson Hole on Friday.

On August 22, the FED announced that it was ready to introduce new monetary easing to support the U.S. economy. This announcement led to a decline in the dollar against major currencies. However, a new QE could be delayed due to good employment statistics and improvement in the housing sector. Preliminary GDP for the second quarter will be released today. Therefore, investors expect an increase of 1.7% against an initial estimate of 1.5% last month.

Investors are mainly focused on Ben Bernanke's speech at the meeting of central banks in Jackson Hole on Friday. They hope a clarification of the future monetary policy which should be implemented by the FED. Mario Draghi already announced that he would not take part of the meeting due to a busy agenda. His speech was scheduled on Saturday.

Technically, the trend is neutral in weekly data. Traders are testing the 81.35 support area. A break below this level would involve a daily down trend towards 80.3. On the upside, a weekly close above the 82.5 level which refers to the 20-day moving average would open the way to 83.85.