Euro Tests Former Trendline

[B]Commentary[/B]: The bounce from 1.3261 has stalled just below the 61.8% of 1.3552-1.3261 at 1.3441. The 21 day SMA at 1.3418 has also held as resistance. Two weeks ago, the EURUSD broke below a support line drawn off of the October 2006 and January 2007 lows.

The pair has come back to test the other side of the line as resistance. The longer term bearish bias is intact as long as price remains below 1.3552.

[B]Strategy[/B]: Bearish on a break below 1.3261