Having violated its key resistance at the 1.3322 level, its Feb 09'2012 high, EUR looks to strengthen further in the days ahead. This will leave the 1.3375 level, its Dec 12'12 high being targeted followed by its Dec 02'2011 high at 1.3547. Its daily RSI is bullish and pointing higher suggesting further strength. On the downside, the threat is for EUR to return to the 1.3322 level just eroded. Below here could see the pair aiming at the 1.3026 level, Feb 06'2012 low followed by the 1.2975 level. A breach of there will set the stage for further declines towards the 1.2930 level, its Jan 25'2011 low. All in all, the immediate risk remains higher with the risk of further strength likely.

Daily