Having continued to build on its bullish outlook, EURUSD looks to capture more upside gains following its Monday bull run. While the pair continues to hold above its psycho level at 1.3000 and the 1.3027/45 levels, its July 20/27'10 highs, our call for further strength remains valid. With a violation of its .382 Fib Ret at 1.3109 seen, risk is now turning towards its May 03'10 high at 1.3310. This view is consistent with short term uptrend triggered from the 1.1875 level. Alternatively, to reverse its current bullish bias, a violation of the 1.3109 level and the 1.3000/27 levels, its psycho level/July 20'10 highs will have to occur to create scope for more downside towards the 1.2721 and the 1.2466 levels. Another support lies at its .50. Fib Ret (1.1875-1.2466 rally) at 1.2169 and then the 1.2162 levels, its Jun 14'10 low.

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