EUR/USD Renews Downtrend, Slipping Under 1.25

EUR/USD Open 1.2676 High 1.2575 Low 1.2456 Close 1.2501

On Tuesday Euro/Dollar resumed decreasing with 115 pips. The European currency depreciated from 1.2575 to 1.2460 yesterday, matching the negative money flow sentiment at bellow -8%, closing the day at 1.2501. This morning the Euro weakened slightly further, reaching down to 1.2456.

On the 1 hour chart the downward channel has renewed, while on the 3 hour chart the downward channel is intact. Break above the nearest resistance and yesterday's top at 1.2575 may trigger further strengthening of the Euro. Going bellow yesterday's bottom and first support at 1.2456, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2340.

Today's focus is on EU17 M3 money supply, Italy PPI, and EU17 Economic sentiment index and Business climate indicator, at 9 and 10 GMT respectively.

Quotes are moving just bellow the twisted 20 and 50 EMA on the 1 hour chart, indicating slim bearish pressure. The value of the RSI indicator is negative and calm, MACD is negative and quiet too, while CCI has crossed down the 100 line on the 1 hour chart, giving over all light short signals.

Technical resistance levels: 1.2575 1.2690 1.2814
Technical support levels: 1.2456 1.2340 1.2214

Yesterday we made +16 pips profit/loss on EUR/USD from the following sent to clients only signal:
8:06 GMT+1 Buy EUR/USD at 1.2557 SL 1.2531 TP 1.2607, exit sent 8:52 GMT+1.
Total yesterday +66, as shown at http://www.zifx.com/performance-past.php.