The pair rejected at the descending trend line and closed below the 20Dsma. The US dollar was supported at yesterday's session even in the holiday- thinned trade. Today, the pair opened below 20Dsma, made a low at 1.2457. On the down side, the pair has support at 1.2440 and 1.2400. We recommend safe selling below 1.2400 and risk trades can sell below 1.2440 with the targets at 1.2375, 1.2360, and 1.2325. Speculators sell can at the current market price 1.2465, sl 1.2475 with the targets at 1.2455 and 1.2444. Below 1.2440, we can expect the 1.2410 and 1.2400 levels. The pair will go through strong selling pressure below 1.2400 towards 1.2360 and panic will be triggered below 1.2320. In case, the prices close above 1.2600, further 200 pips upswing will ignite. For the near term, 1.2600 is the key level on the bullish front and 1.2350 and 12320 are the key support levels on the support side. The panic will be triggered below 1.2320 with the targets at 1.2250 and 1.2226. In case if the prices close below 1.2226, the pair can extend its fall up to 1.2100. Today, focus shifts to German retail sales, French consumer spending, core CPI estimate, unemployment data, and mainly CPI flash estimates. At yesterday's session, the euro fell after the weak inflation report. Any negative readings released, we can expect 1.2400 and 1.2360 again at today's session.
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