As expected, the scenario we slightly preferred is the one which happened, which we said yesterday that it includes the price to start drifting away from it, and break short term support 1.3337. The price broke the specified support in yesterday's report 1.3337, and successfully reached the first suggested target 1.3204, and it came sort of close to the second suggested target 1.3113. Thus, there is no change on the technical outlook , we still believe that this downtrend is capable of breaking the 1.30 landmark, and go into the 1.20s for the first time in a year. But, after yesterday's plunge we could see a rising correction, which should stay inside the channel drawn on the attached chart. That is why we will focus on short term levels for today, waiting for one of them to give us the direction for the next several hours. Short term support is at the nearby 1.3188, and breaking it would indicate a drop to 1.3113 first, then maybe we will see 1.3050. The resistance is at 1.3247, and breaking it would indicate we are already in a rising correction for yesterday's drop, with the ideal target at 1.3310, and the maximum target at the channel's top 1.3366. We see that it is very hard for the Euro to decisively break this resistance.

Support:
* 1.3188: the rising trend line from yesterday's bottom on intraday charts.
* 1.3113: Mar 30th 2009 low.
* 1.3050: Apr 20th 2009 high.

Resistance:
* 1.3247: Fibonacci 38.2% for the last drop from 1.3414.
* 1.3310: Fibonacci 61.8% for the last drop from 1.3414.
* 1.3366: the top of the falling channel on hourly chart.