The EUR/USD pair fell during the course of the day on Tuesday, it bounced enough from the 1.2550 region to form a hammer. This suggests to us that we could see a bounce from here and perhaps the 1.28 level tested for resistance. After all, that level was supportive for some time, and it now should be resistance in turn. We are looking for some type of short-term rallies that we can sell on signs of weakness, as we believe the market will go all the way down to the 1.25 handle.
