EUR/USD rose during the session on Thursday as traders did some profit taking after a large move to the downside. The 1.36-1.34 area looks very supportive, and a bounce from here wasn’t too far out of the question. The bounce is still just a small fraction of the fall, so we are looking to sell on rallies. The breaking of the 1.34 level to the downside would have us pressing to find the 1.31 level. We aren’t ready to buy at this point as the EU has far too many problems. Selling rallies has been the way to go for some time, and it looks like that might continue.
Written by FX Empire