ING Research maintains a bearish bias on EUR/USD and still sees a scope for a move towards parity over the coming weeks.

"EUR/USD broke the key 1.0500 support yesterday as a rocky risk environment continued to favour a stronger dollar while uncertainty around the implications of the Ukraine war in Europe remains elevated," ING notes. Now, the next major support to watch is the 1.0340 January 2017 low. A break below such a level would make the risk of EUR/USD hitting parity quite material," ING notes. 

"As we discussed last week, we wouldn’t be shocked to see the pair at 1.00 in the near term. Indeed, after losing the 1.0500 “anchor”, EUR/USD volatility may well increase again," ING adds.