Short Term Analysis - Mar 26, 2008

EURUSD rebounded sharply from 1.5342 and formed a short term cycle bottom on 4-hour chart. Further rally to 1.5800 area to reach the next cycle top is still possible in the next several days. However, the rise from 1.5342 is treated correction to the longer term down trend, and a break down of the key support at 1.5342 level will signal the resumption of the down trend.