Euro continued to tread sideways as the price action remain confined to 1.1820-1.1870 zone, a range created by the combination of the 20-day, 50-day SMA's and the 23.6 Fib of the 1.2588-1.1639 USD rally. As greenback traders once again push the pair lower, a further move to the downside will most likely see the pair head below the 1.1800 figure and target the single currency bids around 1.1776, a level established by December 12 daily low. A sustained downside momentum will most likely see the EUR/USD head lower and target 1.1639, a level marked by the 2005 Low, breaking of which will most likely see the dollar traders set their sights on the psychologically important 1.1500 handle, a level defended by the single currency bids around 1.1546, an October 17 2003 daily low. Indicators are favoring the euro longs with both positive momentum indicator and MACD treading above the zero line, while neutral oscillators give either side enough room to maneuver.