EURUSD: We are still watching the pair's April 05'10 high at 1.3537 and the 1.3498 level, its April 09'10 high to see how it fares at that zone. While that holds as support, we look for EUR to head back up towards its April 12'10 high at 1.3691 with a breakthrough there setting the stage for a run at its Mar 17'10 high at 1.3816 and next its Feb 03'10 high sited at 1.4025. The latter should cap gains on an initial test and turn the pair lower. Alternatively, if the pair breaks below the 1.3537/1.3498 levels, a return to the 1.3280 level, its April 08'10 low and the 1.3266 level, its 2010 low will follow with a loss of the latter triggering the resumption of its broader medium term downtrend.

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