Euro continues to slide during Friday session

The EUR/USD pair has fallen a bit during the trading session on Friday, reaching down towards the 1.19 level. If we can break below the 1.19 level, the market should continue to go much lower, perhaps down to the 1.18 handle, or even the 1.15 level. It appears that the market should go down for a majority of the summer now that we have broken through a major support level. The higher interest rates in America continue to push the US dollar higher, as the we have recently heard Mario Draghi suspect that interest rates are probably going to be lower for an extended amount of time in the EU, and that of course has put another reason into this market to start selling.

If we did turn around and break above the 1.21 level, that could change everything, but I think it will be very difficult for that to happen. I anticipate that the 1.15 level should be massive support, and I think that the market will respect that level. I think between now and the end of summer though, we are going to see a gradual drift towards that level. If we did breakdown below the 1.15 handle, we could see a collapse, but that is very unlikely to happen. I think that the market will be choppy of course, but certainly with a downward attitude overall. As a result, I think that signs of exhaustion will continue to be nice opportunities for those who are patient enough.