EURUSD: As highlighted in our Thursday analysis, we still retain our bias for a retest and an eventual break of the 1.3584 level, its 2010 low as long as the pair holds below its July'09/Feb 01'10 lows at 1.3831/51 or even the 1.4025/28 levels, its Jan 21'10 low/Feb 03'10 high. Having sold off on Thursday ahead of those levels and followed through lower in early trading today, a loss of the 1.3584 level will resume its medium term downtrend towards its .61 Fib retracement/May 18'09 low at 1.3422/09 and then its Jun 03'09 low at 1.3211. However, to reverse its immediate downside threats, the pair will have to decisively clear its July'09/Feb 01'10 lows at 1.3831/51 to create scope for further strength towards the 1.4025/28 levels, its Jan 21'10 low/Feb 03'10 high where a cap is expected.

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