Except we see EUR return below the 1.2407 level, our bias continues to point to the upside towards the 1.2748 level despite its present price hesitation. A break will annul its broader downside threats and pave the way for a move further higher towards the 1.2824 level. Further out, a cut through here will target the 1.2902 level. Its daily RSI is bullish and pointing higher supporting this view. The alternative scenario will be for the pair to return below the 1.2407 level, its Jun 28'2012 low. This if seen should push EUR further lower towards the 1.2286 level. Below here will resume its broader medium term weakness and call for a run at the 1.2149 level. EUR may turn higher on testing this level but if that breaks, further declines could shape up towards the 1.2100 level. All in all, EUR remains biased to the upside on further recovery

Daily