The Euro starts out with another new high for the move and the highest level since January 27th and thebrunt of those gains are probably the result of better than expected growth news from both Germany and France.It is also possible that the Euro is getting additional lift from talk that ECB banks are poised to repay 1 billion inLTRO’s next week. Another issue contributing to the rise in the Euro is the expectation of weaker US data. Inshort, the bull camp has the macro economic differential edge and that edge looks to expand later this morning.Support moves up to 1.3673.
Technical Outlook: The cross over and close above the 60-day moving average indicates the longer-termtrend has turned up. Studies are showing positive momentum but are now in overbought territory, so somecaution is warranted. The cross over and close above the 18-day moving average is an indication theintermediate-term trend has turned positive. With the close over the 1st swing resistance number, the market is ina moderately positive position. The next upside target is 137.6625. The next area of resistance is around137.3350 and 137.6625, while 1st support hits today at 136.2650 and below there at 135.5225.