Everything goes against EUR/USD in terms of fundamentals, and now yet another technical indicator provides a bearish sign. The team at Bank of Tokyo-Mitsubishi explains: Here is their view, courtesy of eFXnews: Euro weakness has accelerated overnight after EUR/USD broke below key support at the 1.2000-level after which it declined sharply to an intra-day low 1.1864 reaching its’ lowest level since March 2006, notes Bank of Tokyo-Mitsubishi (BTMU). “It is a strong technical signal that the euro is likely to weaken further in 2015 moving deeper into undervalued territory. Over the last decade EUR/USD has tended to bottom at around the 1.2000-level,which on this occasion appears less likely,” BYMU argues. “The next key support level for the pair is provided by the low from November 2005 at 1.1640, after which a break below could open the door for a move towards the 1.1000-level later in 2015,” BTMU projects. On the macro front, BTMU notes that the move lower in EUR/USD has been reinforced by building investor expectations that the ECB will soon adopt more aggressive monetary easing perhaps as soon as at their next meeting on the 22nd January. Along with that, BTMU also notes the euro has also been undermined by speculation that Germany is now ready to see Greece quit the euro-zone if the populist Syriza party wins this month’s snap general election and reneges on the country’s reform programme. “In these circumstances, it is likely that the euro will remain under downward pressure in the near-term.The seasonal bias is also in favour of a lower euro. The euro has underperformed against the US dollar , on average over the last twenty years, during the first six weeks of the calendar year which appears likelyto be repeated this year,” BTMU projects. For lots more FX trades from major banks, sign up to eFXplus By signing up to eFXplus via the link above, you are directly supporting Forex Crunch. Yohay Elam Yohay Elam Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts. Yohay's Google Profile View All Post By Yohay Elam Forex News Today: Daily Trading News share Read Next Grexit Worries Wallop Euro Scott Smith 8 years Everything goes against EUR/USD in terms of fundamentals, and now yet another technical indicator provides a bearish sign. The team at Bank of Tokyo-Mitsubishi explains: Here is their view, courtesy of eFXnews: Euro weakness has accelerated overnight after EUR/USD broke below key support at the 1.2000-level after which it declined sharply to an intra-day low 1.1864 reaching its' lowest level since March 2006, notes Bank of Tokyo-Mitsubishi (BTMU). "It is a strong technical signal that the euro is likely to weaken further in 2015 moving deeper into undervalued territory. Over the last decade EUR/USD has tended to bottom at around… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.