The Single currency rallied sharply to as high as $1.1828 this morning on the easing of Catalan fears in Euro Land.

On the technical side, the move above $1.1790 yesterday has invalidated the count for a possible new low below $1.1667 in the near term. Based on current price action, the EUR/USD might be on track for further short term gains. We would be looking for a possible pullback near 1.1760/75 before the uptrend resumes in the range of 1.1850/1.1880. On the other hand, failure to sustain above $1.1747 might send the pair near its recent low of $1.1667.

On the data docket, FED minutes today (1800 GMT) is likely to shed more lights on the next direction of the common currency versus the greenback.