EUR/USD pair rose during the session on Monday, showing that the 1.30 area is going to continue to be massively stubborn. The support area continues to confound the sellers, and start a serious range of support all the way down to the 1.28 handle. Currently, the 200 day moving averages just above the closing price for this pair, so there is a reason to consider that this market may be simply range bound in the near-term. Ultimately, this market should continue to go lower, as the United States continues to outperform Europe. There are still plenty of concerns in the European Union, and most of the debt issue problems haven’t even been significantly addressed. Right now though, we are not focusing on Europe’s issues, and that is part of what saving this currency. Sooner or later though the market will turn its attention towards them again, and begin to sell this market off. We are not interested in buying this market until we can get above the 1.3250 level.
Written by FX Empire