USD index sinks toward critical support

The US dollar index sank to 79.29 so far today, toward a critical support sitting at 78.50 that held back in December 08.  The fundamentals are clearly in control of this currency for now, but contra traders are looking for an opportunity to jump into long dollar trades once the greenback finds some support around this level.  The dollar should find some resilience, it cannot fall like a rock, right?  EURUSD is reaching for 1.4150 - 1.4200 which was reached when the USD index hit this support level.  I am watching the Dow as it may start a new dip today or next week, bringing some money back into testing the old “safe haven” drill of buying up dollars.  In the longer term I am still bearish the USD, but a good retracement is likely at this point in my opinion.  The weekly EURUSD 100ema is sitting daintily at 1.4225, that could be the target for longs to get out, and for shorts to get in.  Cheerio.