The dollar index looks set to continue its rapid decline and could fall below 72 point before the end of October, a level not seen since mid-2008, independent trader and technical analyst Bill McLaren told CNBC Friday.
"This is a real panic going on," McLaren said. "My gosh, the way this thing is running down here we could see the 71s without a problem."
McLaren expects the index to hit a low on October 29, but said there is a small chance the move could become exhausted on the 20th.
McLaren added that he had expected the index to reach a bottom on October 20, but the speed of its decline lead him to change his forecast.
The dollar index [.DXY 77.255 
0.215 (+0.28%) 
], which weighs the greenback against a basket of other currencies, held above 76 points Friday. It has suffered major declines since mid-summer after the Federal Reserve signaled further quantitative easing in a bid to boost the economy. Read more
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