April 13 (Bloomberg) -- The euro may fall to around $1.2400 should the currency weaken beyond so-called support at $1.3100, Bank of Tokyo-Mitsubishi UFJ Ltd. said, citing trading patterns.

The support level consists of the March 30 and April 10 lows and the 26-week moving average of $1.3087, said Masashi Hashimoto, a Tokyo-based currency analyst at Bank of Tokyo-Mitsubishi UFJ. Other technical indicators such as the ichimoku and stochastic oscillator charts also show sell signals for the euro against the dollar, Hashimoto said.

“The euro looks like it’ll break through support around $1.3100,” Hashimoto said. “There’s a downside risk for the euro if that happens.”

Europe’s single currency traded at $1.3194 at 7:19 a.m. in London from $1.3189 in New York on April 10, when it reached $1.3090, the lowest level since March 18. The euro has fallen 5.7 percent this year, following a 4.2 percent loss in 2008.

An ichimoku chart analyzes the midpoints of historic highs and lows. A stochastic oscillator chart measures the closing price of a security relative to its highs and lows during a particular period to try to predict whether it will rise or fall.

The $1.2400 area consists of the euro’s lows reached on Oct. 28, Nov. 13 and Nov. 21 and March 4, according to data compiled by Bloomberg.

In technical analysis, investors and analysts study charts of trading patterns and prices to forecast changes in a security, commodity, currency or index. Support is where buy orders may be clustered.

To contact the reporters on this story: Ron Harui in Singapore at rharui@bloomberg.net