EUR/USD bears are quick to book profits each time we get toward the 1.3300 level. There is nothing magical from a technical perspective around those levels but traders seem reluctant to accept much risk being long dollars.
Look for EUR/USD to attract selling on rallies toward the 1.3400 level as traders take advantage of narrowing interest differentials, deteriorating European sovereign credits and general risk aversion. EUR/USD trades at 1.3360.
