If the Euro were poised to bottom one might have expected a more significant recovery action off the slightly better than expected 3rd quarter growth results overnight. However, as suggested in the Dollar coverage,rekindled anxiety toward the Ukrainian situation is rekindling fresh headwind fears across the continent. Perhapsthe Euro is finding some support from news of a G20 sideline meeting between Putin and Merkel. In general asweep through the Euro zone data shows positive readings but readings that could easily be tipped back towardrecession. Therefore the Euro looks to remain in a downward bias, with a recent pattern of lower highs leaving thetechnical tilt in the bear’s court.
Technical Outlook: The stochastics indicators are rising from oversold levels, which is bullish and shouldsupport higher prices. The close above the 9-day moving average is a positive short-term indicator for trend. Theclose over the pivot swing is a somewhat positive setup. The near-term upside objective is at 125.3650. The nextarea of resistance is around 125.1200 and 125.3650, while 1st support hits today at 124.4600 and below there at124.0450.