EUR: Next target is $1.2355 - BBH

Analysts at BBH point out that the euro was sold through $1.22, which was the neckline of a possible double top.  

Key Quotes

“It closed below it on Wednesday and saw additional selling on Thursday that briefly nicked the 38.2% retracement of the euro's advance since early last November (~$1.21750).  The euro was sold to levels last seen in the middle of January.  However, it recovered sharply, and posted a key reversal, closing about Wednesday's high.”

“Follow through buying ahead of the weekend (and the political events in Germany and Italy) and surpassed the 20-day moving average (~$1.2325).  The euro the 38.2% retracement (~$1.2310) of the recent setback The next target is $1.2355 and then $1.2400.  Although the weekend political events may elicit a reaction, the technical indicators favor the upside.”