We saw price break the bottom of the range it was trading within towards the end of the month. It is currently at the role reversal retesting the psych level 1.2400 as resistance. Stochastic is overbought and there is divergence between it and price action. Market action moving averages look flat as the angle separation between them is not that great.

Price opened at a bear area zone. With a heavily overbought stochastic, we might see price break down through the immediate support and find a key level of support at the weekly pivot also with the 21 possibly acting as dynamic support. Conservative bears might look for selling opportunities at the role reversal at 1.23500.

There is confluence between DM3 and WM3 at psych 1.24000. This is a key level of resistance that bears would consider selling. Another level that I would look for another short entry would be a retest at MM2 (1.23500) as some traders wouldn't feel comfortable selling when price is within the bull area zone on the daily chart.