A range up move in the Euro highlights a currency catching a lift from revived macro-economic optimism.However, some of the gains appear to be the result of liquidation in the Dollar and some of the gains might be theresult of talk that the Euro zone has turned the corner and is leaving the recession behind. Apparently favorableeastern and southern European auto sales data inspired up-beat economic views and that for the time being hasbeen able to gloss over the bubbling political wrangling in the Ukraine. Initial support moves up to 1.3747 andresistance isn’t seen until the 1.3808 level.
Technical Outlook: The major trend could be turning up with the close back above the 60-day movingaverage. Momentum studies are declining, but have fallen to oversold levels. The market’s short-term trend isnegative as the close remains below the 9-day moving average. A positive setup occurred with the close over the1st swing resistance. The next downside objective is 136.7625. The next area of resistance is around 137.6450and 137.8225, while 1st support hits today at 137.1150 and below there at 136.7625.