The EUR/USD pair went back and forth during the course of the day on Thursday, forming a fairly neutral candle.

There is a significant amount of noise above, and as a result it’s very difficult for us to imagine buying this pair.

On the other hand though, if we get a rally that forms a rather resistive candle above, we would not hesitate at all to start selling.

We believe that ultimately this market is reaching down towards the 1.05 handle, but it will take some time to get down to that area.

Editor’s Note: Equity investors/traders can use the Currency Shares Euro Trust (FXE, quote) ETF to take positions in the euro without a FOREX account.  The ETF looks to track the price of the euro (EURUSD), minus ETF fee. The fund seeks to reflect the price of the euro with the shares representing a cost-effective investment relative to investing in the FOREX market.

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