The Euro has rebounded slightly to start today but that might be positioning balancing ahead of thepayrolls and not a fresh bullish focus by the trade. We have to think that the trend is set to remain down in theEuro, as the US economy looks to out perform the Euro zone in the near term and it also seems as if the Fed iscloser to more tapering, while the ECB is poised to add support if necessary. However, traders should probablyattempt to sell a non farm payroll inspired rally in the Euro especially if the non farm payroll gain is less than+180,000 as that could produce a near term bounce to $1.3680. If the non-farm payroll gain is above +210,000the March Euro is likely to quickly fall back to the lowest levels since December 3rd.
Technical Outlook: Daily stochastics declining into oversold territory suggest the selling may be drying upsoon. The market’s short-term trend is negative as the close remains below the 9-day moving average. The dailyclosing price reversal up is a positive indicator that could support higher prices. With the close higher than thepivot swing number, the market is in a slightly bullish posture. The next downside objective is now at 135.1100.The next area of resistance is around 136.4700 and 136.8300, while 1st support hits today at 135.6100 and belowthere at 135.1100.