Euro Drops Under 1.3600

[B]Commentary:[/B] We wrote yesterday that “price is likely to continue lower towards the 100% of 1.3852-1.3608/1.3838 at 1.3595. The next bearish target is the 161.8% extension at 1.3445.”

Given that the 100% extension has been breached and that the decline appears to be subdividing, we continue to favor the downside as long as price is below 1.3625. Look for a test of 1.3445 in the next few days.

[B]Strategy:[/B] Remain Bearish, move risk to 1.3625 (from 1.3838), target 1 hit at 1.3600, next target at 1.3445