As we wrote yesterday euro is under the pressure of bad news and hence it is descending. On Thursday under the pressure of fresh news on Great Britain deficit growth and ECB forecast descent of European economy development in 2012 (ECB is planning the economy descent by 0.3 %) euro broke down the level of support by 1.2320, from which on Wednesday a rebound of pair quotations was realized.

This breakdown is a perfect technical example of the fact that there is a pessimistic sentiment on the European market of union currency and the quotations must descend. With such negative background and technical weakness of Euro it will possibly descend to 1.2180-1.2210, where a short stop will occur and the bulls will have the opportunity to change the progress of events that are developing currently negatively for euro, which might drop lower than the current minimum for this year.