The pair lost its ground at 1.2358 and fell 80 pips at yesterday's session. The pair was losing its steam in yesterday's trade after the weak Euro data and the stronger US data. The US dollar stood ahead against most major pairs. Ahead of the ECB press conference, the Euro looks highly bearish, broken the previous lows. The pair has strong, long-term support at 1.2226. Below 1.2226, 1.2045 and 1.1876 are the other multiple support levels. We have been recommending selling on every rise with the initial targets at 1.2320 and 1.2230. Our first target was completed, waiting for the rest. If a weekly close is below 1.2350, we can expect 500 odd pips correction on the downside from the longer-term view. The further direction will depend on the Thursday's ECB action. A lot of pressure is still being put on the Euro. In the US, unemployment claims are the key major data. A positive reading will add more strength to the US dollar. Today, the pair opened and is trading above the previous high. Currently, 1.2300 is acting as a support level. The pair has resistance between 1.2358 and 1.2360. The previous supports became resistance levels. We recommend fresh intraday selling below 1.2295 with the targets at 1.2255 and 1.2240 levels. Use every rise to sell.
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