EUR/USD Forecast – Euro Continues to See Choppy Behavior

Euro vs US Dollar Technical Analysis

The Euro rallied slightly just a bit during the early hours on Wednesday, as we continue to see a lot of upward pressure. If we can break above the 1.0775 level, it’s likely that the market could go looking to the 1.08 level. The 1.08 level, of course, is a large round psychologically significant figure. Underneath, we have the 1.07 level offering quite a bit of support, and I think that’s what the euro is essentially doing right now. It’s just going from one large round figure to another.

The European Union, of course, is an area where we are starting to see interest rate cuts come to fruition. And of course, there are a lot of concerns, quite frankly, about war in Ukraine spreading to various NATO countries. At this point in time, I do think that we will continue to see a lot of sideways and volatile action, as the pair does typically consolidate anyways, the euro against the dollar is one of the least active pairs most of the time.

With this being the case, this is a market that I think continues to see a lot of choppiness, but I think ultimately there is a wide range that we will continue to hang about in this year between 1.06 at the very extreme bottom and the 1.10 level above at the extreme top. Until something truly changes, I think this is a range that the market will continue to see various areas of interest recognized over the longer term.

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