The EUR/USD pair went back and forth during the course of the session on Monday, showing that the market is essentially stuck at this point. However, we believe that the uptrend line that that previously held the market up will now offer a significant amount of resistance. We believe that this market is reaching down towards the 1.06 level, and then eventually the 1.05 level. With the Federal Reserve looking likely to have to raise interest rates fairly soon, there is probably little to keep the US dollar from gaining in value.
