With signs of progress on the European debt crisis, is it time to buy the euro? It depends against what.
Sure, there are hints that the European Union summit could be productive, and European leaders certainly are doing plenty of talking.
But be careful, says George Davis, chief technical analyst at RBC Capital Markets.
"I still think you have to be on the defensive. We've been disappointed many times before in terms of the outcome of various measures that have been proposed," he told CNBC's Scott Wapner.
"I still think any shorter term bounces in the euro would be viewed as a selling opportunity," Davis says, not least because he expects sentiment to turn more negative toward the end of the year.
Still, even though Davis is negative on the euro against the dollar, he thinks it has room to move higher against the Swiss franc. Swiss authorities "still view the franc as being overvalued," he says, and certainly they have shown no reluctance to intervene.
Davis wants to buy the euro against the Swiss franc at 122.50 and expect a move to 128, with a stop at 120.