EUR entered a significant technical area - BBH

Analysts at BBH suggest that euro, the largest component of the Dollar Index, has entered a significant technical area as the 61.8% retracement of the euro's drop from mid-2014 is found near $1.26. 

Key Quotes

“The 100-month moving average is near $1.2575.  Above there, initial potential extends toward $1.28, which is where the monthly downtrend off record highs comes in (and $1.2780 at the end of February).  Technical indicators are stretched and market positioning is extreme.  Be on the lookout for a simple reversal pattern to signal a flagging of momentum.  A preliminary sign is a close above the previous day's high, which has not been seen since January 9.”