Euro Blues Will Continue, Technicals Suggest

Euro coins in hand
Euro coins in hand

The euro is breaking through key support levels, and one analyst thinks it has further to fall.

Todd Gordon, co-head of research and trading at Aspen Trading Group, is down on the euro.

How down?

"We've got Greek restructuring, we've got Spanish CDS's breaking a new high. The euro zone's in trouble," Gordon told CNBC's Melissa Lee.

At the same, time, Gordon expects continued significant Treasury bond buying by the Federal Reserve, which will stimulate demand for the dollar.

On the technical front, Gordon noted that the euro has moved below a key resistance level at $1.41. "We're currently short, and I hope my partner's back on the desk selling through," he said.

Gordon sees the next stop at $1.38, and then $1.35.

You can watch the whole discussion in the clip.

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