Oil futures have broken through the psychologically important $50 level and retested technical highs at $50.50 before stalling. This reflation sign (assuming demand is improving) is a euro positive as is the rush for hard assets as markets fear the US may be trying to inflate its way out of its debt.

US equity futures have turned positive in pre-market trade, another bullish factor for the euro on the risk-assumption side of the ledger.1.3020/35 is short-term resistance in EUR/USD with more at 1.3595, the 50% retracement of the 1.4737/1.2453 decline.