FXstreet.com (Barcelona) - The Euro decline from 1.3390 high on Apr 14 has extended below 1.3000 on Monday's European session, and according to the KBC Bank it could reach lower, as according to the KBC Market Research Desk, the short-term bias has changed from neutral to negative.

The KBC Market Research Desk once broken the 1.3090-1.3113/1.3738 trading range last w3eek, the Euro is prone for further depreciation: A first test of the 1.31 support area was rejected two weeks ago but at the end of last week, the bottom of the 1.3090-1.3113/1.3738 trading range has been broken. This is a short-term negative for the pair and forces us to change our short-term bias from neutral to negative.

Regarding strategy, the KBC Market Research Desk favours a sell-on upticks approach: A sell-on upticks approach looks more appropriate in a day-to-day perspective. The 1.2991 previous high is the next important support level. The targets of the multiple top formation are at 1.2835, 1.2645 and 1.2487.

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