There is no sign of any respite for the EUR from the current bearish sentiment, with little major technical support until 1.2600 at the earliest. EUR/JPY, EUR/GBP and EUR/AUD are also in firm downtrends and when the crosses are almost universally bearish, there’s very little chance that the EUR/USD will rally significantly. Resistance is now firm at 1.2850 but nothing happens in a straight line in the FX market, so we may see some volatility in a 1.2500/1.2850 range for the rest of this week depending on the headlines.