EUR/USD Forecast May 21, 2014, Technical Analysis

The EUR/USD pair fell during the bulk of the session on Tuesday, dipping below the 1.37 level yet again. However, by the end of the day we did in fact form a bit of a hammer, and with that it’s likely that we will continue to see buyers step in at this general vicinity. This market is extremely oversold at the moment, so we are willing to look at supportive candles as potential buying opportunities, as there seems to be a significant amount of interest in this general vicinity. Going forward, selling is impossible until we make a fresh, new low which would send this market down to the 1.35 handle.