Euro falls again during Wednesday session

The Euro has broken down significantly during the day on Wednesday, slicing through the 1.17 level. The market looks likely to continue to go much lower, and I think that the major support level at the 1.15 level underneath should continue to be the target, and I think that short-term rallies are opportunities to sell this market as it offers value in the US dollar. I believe that there is a bit of a “ceiling” at the 1.1825 level above, and therefore it’s almost impossible to imagine a situation that we continue to see short-term rallies, followed by exhaustion.

If we were to break down below the 1.15 level, the market could wipe out quite a bit of value from there as well. I would be very cautious about putting too much faith in a rally, as the markets continue to see a lot of negativity coming out of the European Union overall, and of course with the interest rates rising in the United States it’s likely that the greenback will continue to attract a lot of attention and influence in the Forex markets. I believe that there is a proclivity for people to try to pick the bottom, as the Euro has fallen so significantly, but that’s the folly of a new trader. The downtrend has most certainly substantiated itself and looking at longer-term charts it’s almost impossible to imagine that this market while at least make one attempt at the 1.15 level.