The greenback again is back on the rails with the Philadelphia-area factory gauge data. The Euro was rejected against the US dollar at the previous session. The pair fell below the 20Dsma but managed to close above that. Stronger US data supported the dollar to move higher against the Euro. The pair took the support at 100hrsma or 1.2500, below this 1.2487 is a major support. As of now, today the pair is making higher lows and higher highs. The selling pressure will ignite below 1.2440 and panic will be triggered below 1.2395. As we recommended earlier, sell on every upswing with the downside initial targets at 1.2300 and 1.2230. The monthly resistance exists at 1.2757 and monthly support exists at 1.2227. Today, traders are focused on Draghi speech. Ahead of the event, the pair is trading light with a positive bias. We didn't get clear direction after yesterday's economic data. The pair is trading in a tight range between 1.2610 and 1.2490. In case if the prices drop below 1.2490, it can extend its fall up to 1.2440 and 1.2400 levels. Traders can wait patiently for a clear direction and perfect trade.
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