On the daily chart, the pair declined from the "round" level of 1.2700, which is an important resistance. At the same time, the pair may exit downwards from an upward-pointing wedge, which would be a bearish signal (since if the trend continues, the direction of exit would have to be the direction of the previous movement, that is, growth). A negative factor is also the fact that the pair did not grow on favorable economic data from the United States. This shows that the direction of least resistance is now a decline, and a pullback from 1.2700 has a development perspective. A decline to the next "round" level of 1.2600 would not disrupt the sequence of growth of the pair's relative highs and lows. According to directional movement indicators, the trend remains growth: DM+ is significantly higher than DM-, the MACD histogram is in the positive zone, the MACD line has a positive slope.
On the four-hour chart, the pair overcame the trend line, if you build it from November 10. Overcoming the trend line and the transition to a decrease in the relative highs and lows of the pair rather indicate a reversal on this scale. According to more short-term directional movement indicators, the trend has also become a decline: the MACD histogram is in the negative zone, the MACD line has a negative slope. The support level of 1.26555 is currently being tested. When anchoring below, the next target becomes the level of 1.2600.
Resistance levels: 1.2700; 1.2800
Support levels: 1.2655; 1.2600