Hello Ken,
Your graph shows good signals.The dollar fell near a record low against the euro yesterday yet today it steadied due to investors' belief that the troubles of the U.S. financial sector are not over yet. This provided support for the euro. The dollar did recover to some extent following better-than-expected results from large financial institutions such as Citi, JPMorgan Chase and Bank of America, yet investors await further earning reports. According to the news report given by http://www.finexo.com/ the recent U.S. credit crisis has affected the housing market as well as all financial activity and investors' expectation of an interest rate hike before the end of the year to fight inflation are withering, thus further hurting the dollar's state.
The 4.25% rate offered by the European Central Bank makes the euro much more attractive in comparison to the Fed's 2%. Senior traders believe that the euro will dictate the dollar's trend and they expect the euro to keep rising since it is now benefiting from Japanese investors looking to make a profit on this high-yielding currency.
The embattled mortgage-lending giants Freddie Mac and Fannie Mae are also likely to decrease investor confidence in the dollar, another encouraging factor for foreign investors to shift their funds from the dollar into the euro.

As no major data releases this week, i expect the market to move in tight ranges. There was little change in the euro today, and it was eventually traded at $1.5925.
Good Day!!