Testing Support

After yesterday's nice run up, we are now searching for support levels.  The break of 1.2800 in the EUR/USD pair has us testing the old 1.2750 area again.  And by its nature, the break of previous support now makes it an area of resistance.  As our intraday studies are rolling over from oversold conditions, we'll look to go long again today. We will keep a close watch on the price action because a break of 1.2750 could open the door to a drop to 1.2700. In that case, we will go short at 1.2745.

We do have two events of note on the US side. The Empire State Manufacturing Index comes in at 13:30 GMT and the October FOMC minutes will be released at 19:00 GMT.