FXstreet.com (Barcelona) - The Euro climbed up to 1.5495 yesterday but it fell back after the Fed's offer to financial institutions, according to Liviu Flesar, technical analyst at E-Forex: The Euro rallied to a new record high at 1.5495 on yesterday but once again failed to sustain above 1.54 and fell back into the previous range where it found support into the 1.5280-1.5300 zone. The Euro failed to hold its gains and declined due to the Fed offering to lend up to $200 bln in treasuries to financial institutions in exchange for debt.

Liviu Flesar considers, nevertheless, that the Euro's momentum is on the upside: The daily close above the previous support of 1.5313 helps the Euro to keep momentum positive as a potential close below the said support could point towards an extended decline into the 1.52 zone and below. While downside risk is higher now that the Euro lost some strength, there is enough room for gains on the upside while the Euro holds above the 1.5280-1.5300 support area.