A positive flow toward the Dollar this morning and away from the Euro is underway as German Gfk dataovernight failed to provide evidence of positive progression. Therefore the Euro looks to be under pressurebecause of the US Fed comments overnight. Initial downside support and possible near term targeting in the JuneEuro is seen down at 1.3764 and then again down at 1.3747. Cushioning the Euro against a weak liquidation biasthis morning, is news that Spain managed to post positive growth in their 1st quarter.
Technical Outlook: Momentum studies trending lower at mid-range could accelerate a price break ifsupport levels are broken. The close under the 18-day moving average indicates the intermediate-term trendcould be turning down. The market tilt is slightly negative with the close under the pivot. The next downsideobjective is now at 137.1250. The next area of resistance is around 138.7400 and 139.0850, while 1st supporthits today at 137.7600 and below there at 137.1250.