The euro was sold off in yesterday's session against the U.S. dollar and closed at the lowest point of the day. Today, at the Pacific session, the pair made a low at 1.2707, it has parallel support at 1.2706, below this at 1.2699 (20Dsma). The pair is trading in a verge of an ascending trend line. In case, if the pair closes below 1.2699, the euro can fall 50-75 pips initially, reaching later the 1.2575 level. The ECB is likely to buy corporate bonds, which weakens the euro further. For an Intraday view, we recommend selling below the 1.2699 levels. The pair has resistance at 1.2760 (34h sma), above this at 1.2781 (35DEMA). In the h4 chart, we can see a large distribution pattern between the 1.2845 and 1.2840 levels. From a positional view, we can use every rise to sell.
Trade -
Selling below 1.2699.
The material has been provided by InstaForex Company - www.instaforex.com
