FXstreet.com (Barcelona) - The Euro dropped sharply Yesterday and from 1.4378 high dipped to 1.4177 low on U.S. session to pick up to levels above 1.4200 during Asia session, although, according to Karen Jones, technical analyst at Commrzbank, the pair could continue in a sell tone, reaching levels below Tuesday's low.

Jones foresees follow through selling to levels below 1.4144, 50 day MA: Last week the rally peaked at 1.4407 and we look the market to remain capped by 1.4445/99 (recent high and channel). Ideally we would like to see follow through selling today through the 55 day ma at 1.4144 to the 1.4047 uptrend.

In case of sharper decline, levels below 1.4047 could accelerate downtrend, says Jones: Below 1.4047/1.3975 will increase the risk that the market has topped targeting 1.3886 (channel support) en route to 1.3580/85 (55 and 200 week ma).