The Euro showed some initial weakness on the charts early this morning but the currency seems to have found some measure of support on the charts. The Euro is probably drafting some support from a general risk-onvibe, generally higher equities and residual hope of some improvement in Euro zone data. A surpriseimprovement in Italian industrial orders, reports that Nigeria is Ebola free and generally higher equities suggeststhat some form of normalcy is set to return to the marketplace and that in turn could provide the Euro with somefundamental support. Near term support in the December Euro is seen today at 1.2679 today and that supportrises to 1.2696 on Tuesday. The Commitments of Traders Futures and Options report as of October 14th for Euroshowed Non-Commercial traders were net short 155,622 contracts, an increase of 11,622 contracts. TheCommercial traders were net long 206,701 contracts, an increase of 6,800 contracts. The Non-reportable traderswere net short 51,079 contracts, a decrease of 4,822 contracts. Non-Commercial and Non-reportable combinedtraders held a net short position of 206,701 contracts. This represents an increase of 6,800 contracts in the netshort position held by these traders.
Technical Outlook: Momentum studies are rising from mid-range, which could accelerate a move higher ifresistance levels are penetrated. The close above the 9-day moving average is a positive short-term indicator fortrend. It is a slightly negative indicator that the close was lower than the pivot swing number. The next upsideobjective is 128.7324. The next area of resistance is around 128.1149 and 128.7324, while 1st support hits todayat 127.1850 and below there at 126.8725.