EUR/USD Forecast – Euro Continues to See Upward Pressure at Resistance

Euro vs US Dollar Technical Analysis

The euro has initially tried to rally a bit during the course of the trading session on Monday, but it does look like we are struggling to finally break out. At this point in time, I think you have a market that’s just simply going back and forth between major round figures and of course, the 1.09 is an area that has been important multiple times in the past. That being said, if we do break down from here, I don’t necessarily think that we drop any further than 1.08, which has been a major magnet for price, if you will.

So, with that being said, I think you’ve got a situation that is going to continue to be noisy, and I do think we will continue to see a lot of choppiness from day to day. But I also believe that this is a market that eventually will have to clear itself out. Keep in mind that central banks around the world are all cutting rates, and a lot of what we are seeing here is just an anticipation that perhaps the Federal Reserve may cut.

That may be true, I don’t know, but ultimately, this is a market that could see a lot of short term trading, kind of come to the forefront. I think it’s difficult to be very bullish or very bearish in this pair, especially when you zoom out of the chart, and you can see that we are getting a little extended in the range that we’ve been in over the last couple of years. So, I do think a pullback is very possible. But then again, it’s all going to come down to where people think the fed is going to do.

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