The EUR/USD pair initially fell slightly during the session on Tuesday, but found the area near 1.05 as supportive. We ended up bouncing drastically from there, but found the 1.07 level above as being resistive. We believe that rallies will continue to be sold every time they appear, as the Euro continues to suffer in general. The US dollar continues to be the favored currency around the world, and as a result this pair should continue to break down over the longer term and eventually head to the parity level given enough time.
