The Euro remains pinned to the bottom of its recent trading range despite very upbeat consumersentiment results. Perhaps talk of a slowdown in Euro zone money supply and the escalating expectations of aJune easing has entrenched the Euro in a downward pattern on its charts. Initial support is seen today at 1.3612and then not until the 1.3587 level. Remain bearish toward the June Euro as long as the Euro remains below1.3650.
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. With theclose higher than the pivot swing number, the market is in a slightly bullish posture. The next downside objectiveis now at 135.7950. Some caution in pressing the downside is warranted with the RSI under 30. The next area ofresistance is around 136.5900 and 136.9150, while 1st support hits today at 136.0300 and below there at135.7950.