EUR/USD Forecast – Euro Continues Groundhog Day

EUR/USD Forecast Video for 09.06.23

Euro vs US Dollar Technical Analysis

The euro has rallied a bit during the trading session on Thursday, as we continue to use the 200-Day EMA as support. Quite frankly, this is a market that continues to go sideways, which is not a huge surprise at all considering that we have a central bank meeting for both of these currencies next week, therefore it’s likely that we will continue to see a lot of back-and-forth.

I have been using the high of the last 2 weeks, right along with the low of the last 2 weeks as a bit of range, and therefore it’s likely that we would continue to bounce back and forth in this general vicinity. Alternatively, when you look at the 200-Day EMA, it has shown a certain amount of support, but the market is more likely than not to continue to go back and forth, due to the moving average being flat. Furthermore, there is an uptrend line just below, and that also offer support. Just above the resistance that I have marked over the range of the last 2 weeks, we have the 50-Day EMA, which is dropping rather significantly. That of course will offer resistance as well.

As things stand right now, is very likely that we will continue to see a lot of noisy behavior, and therefore I think we’ve got a situation where we have to wait to see whether or not the market breaks out of the range to get long or short. Ultimately, this is a market that I think is getting ready to try to make a bigger decision, but with the Federal Reserve meeting next week and the ECB meeting the very next day, I anticipate between now and then we will probably have more noisy behavior than anything else. With that, be cautious with your position size but recognize that you are probably going to have to be very cautious with your position sizing, and of course be as nimble as possible with this type of choppiness and uncertainty with this type of environment. That being said, as I look at the market right now, not much has changed over the last couple of days.

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