EUR/USD breaks the 1.4280 minor resistance line and reaches the 1.4436 high. The Euro rallied on a strong note yesterday as the Euro Zone agreed to a 2nd Greek bailout. Intraday bias has changed to the upside, since the currency pair was able to maintain its price action above the 1.4280 minor resistance line.

EUR/USD breaks below the 1.4305/1.4124 support lines and hits the 1.4072 low. Intraday bias has changed to the downside, as long as the 1.4495 minor resistance line is not broken. On the downside, since the 1.4305 and 1.4124 support lines have been broken, than look for the currency pair to continue the bearish momentum and target the 1.3968 major support line.

The European currency has depreciated dramatically against the US dollar in the past few months, falling from over $1.50 on December 1st to $1.35 today. The move has caused many investors to question the viability of the European Union and its currency, while also serving to reinforce the notion of the USD’s position as the world’s reserve currency.

Today’s report showing better than expected growth in the Euro Zone during the second quarter signaled to traders that the worst may be over triggering a renewal in confidence in the EUR USD.