EUR/USD Forecast October 31, 2014, Technical Analysis

The EUR/USD pair fell hard during the session on Thursday, but turned back around and bounced hard enough to form a beautiful looking hammer. The hammer is fixated on the 1.26 level, and that being the case the market could very easily bounce from here. However, we still see this is a very negative market and therefore are not interested in buying it and look at any bounce as a potential selling opportunity. We still believe that the markets going to head down to the 1.25 level, and until we break out above the 1.30 level, we have no interest whatsoever in buying.