The single currency penetrated key daily support at 1.3114 (now resistance) yesterday on fears of contagion effects for other eurozone states over Greek debt problems and euro weakened to a fresh year's low of 1.2935 in European morning before rebounding, however, as long as 1.3040/45 holds, medium-term downtrend should resume and extend to 1.2870/75 later this week.    On the upside, a breach of 1.3040/45 would signal a temporary low has possibly been made and a minor correction towards 1.3114 cannot be ruled out before down.