EUR/USD made it clear today, in no uncertain terms, that its downtrend is over.  Observers more astute than myself may have stuck a fork in the Euro downtrend several days prior to today, but I've been waiting for a key piece of evidence - a trendline break.

The pair broke the down trendline starting with the high on 7/15/08 and retested on 9/22/08 with vigor today, as it soared through it by almost 300 pips.  This, coupled with the fact that the pair has made a higher high and a higher low, leaves me with no reason to maintain a short bias any longer.

So what does this mean for my EUR/USD trading?  Well, I'll be waiting for a pullback and looking for long opportunities, as long as there remains evidence that we are now in an uptrend (i.e., higher highs and higher lows).  Of course, there's always a possibility that the market will move sideways for awhile.