EUR/USD Daily Price Forecast – EUR/USD Weakens Towards 1.15The pair is under pressure around the 1.15 region and the bulls need to make sure that they will hold it
The EURUSD pair continues to weaken since the beginning of the week as the pressure from the dollar strength seems to have started taking a toll on the strength of the euro. We are still seeing the pair holding on to the 1.15 region, as of this writing and this region is likely to be the line in the sand as far as the bulls and the bears are concerned. We are into a new month and with a slew of economic data lined up during the first week of the month, we are likely to see some volatility in the coming days.
EURUSD Weakens Towards Support
The release of data is likely to have an impact on the market and it is important that the bulls hold on to the 1.15 region during this period. Any loss of this region would place a huge pressure on the bulls and this could lead to a further sell off as the weak holders and the traders who had got into the trades thinking that the 1.15 region would hold, would have to sell off as their stop losses are likely to get hit. This region and this period is likely to be an important one considering the overall picture for the pair in the medium term and this period could set the tone for the rest of the year.
Fundamentally as well, we will see that the dollar is likely to weaken towards the end of the year as most of the events surrounding that has already been anticipated and priced in. So, anything that misses the mark is likely to disappoint the traders and the market in a huge manner and this could lead the traders to view the dollar with a pinch of suspicion. We will have to see how this pans out over the course of the next week or so and if this does happen, then we could see the euro recover from the 1.15 region and head back towards the 1.20 region in the medium term.