EURUSD: While EUR may be vulnerable to the downside following its past week loss of upside momentum, it continues to hold onto most of its recovery gains off the 1.2750 level. However, to restart that recovery, it will have to recapture the 1.3198 level. If this occurs expect the pair to strengthen further towards the 1.3250 followed by the 1.3318 level. Its weekly RSI is supportive of this view. On the downside, support comes in at the 1.2967 level. Below here will risk a return to the 1.2843 level followed by the 1.2800 level where a halt could occur and turn it higher. However, if this level breaks, expect further declines to occur towards the 1.2700 level. All in all, EUR continues to retain its corrective upside bias.
