Updating time : 04/12/2007 23:59 GMT

EUR/USD - 1.4765...Despite the retreat fm 1.4697 to 1.4635 in European morning y'day (when eur/jpy n eur/chf fell sharply to 160.90 n 1.6466 resp), euro then rallied to 1.4768 on dlr's broad-based weakness (after a statement fm the Gulf Cooperation Council failed to mention the greenback's recent decline), suggesting erratic decline fm the record high at 1.4968 has ended earlier this week at 1.4620 (hourly macd has crossed abv the zero line) n consolidation with upside bias remains for correction to 1.4794 (50% r of 1.4968-1.4620).

Therefore, buying on pullback in anticipation of another rise is favoured,however, hourly oscillators are approaching o/bot territory n reckon 1.4835(61.8% r of 1.4968-1.4620) wud remain intact n yield retreat. Only a firm breach of 1.4859 (Nov 28) wud indicate MT uptrend has 'possibly' resumed, 1.4909.

On the downside, below 1.4694/97 (50% r of 1.4620-1.4768 n previous minor res) wud defer this near term bullish scenario n risk weakness to 1.4640/50, however, break of 1.4620 is needed to signal the aforesaid decline fm 1.4968 to retrace MT uptrend has resumed instead, 1.4581 'later'...

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