The euro weakened and looked vulnerable to further falls against the dollar due to increasing expectations of interest-rate cuts by the ECB next year and the U.S.’s growing yield advantage over the eurozone, Helaba Research said.

The euro has fallen below its 21-day and 200-day moving averages and is coming very close to support at the 100-day moving average, which if broken could see the euro drop, it said.

“If prices fall below this level, a significant correction would have to be considered.”