The near-term outlook for the Euro remains fairly bearish as the EUR/USD fails to break above the 78.6% Fibonacci retracement from the 2009 high to the 2010 low around 1.4440-60, and we should see the descending triangle formation continue to pan out in the week ahead, as the relief rally in the single-currency tapers off. Meanwhile, the EUR/GBP pared the two-day rally, with the exchange rate falling back below the 100-Day SMA at 0.8807, but the euro-pound looks poise to trend higher over the near-term as it maintains the upward trending channel from earlier this year.
