EUR/USD Forecast – Euro Continues to Tread Water

EUR/USD Forecast Video for 10-01-2024

Euro vs US Dollar Technical Analysis

The Euro, as we have seen over multiple sessions now, simply doesn’t have anywhere to be. We are continuingly seeing the 1.10 level above offering resistance, and I think that is going to be the key going forward. If we can break above there on a daily close, then I might be convinced that the market is going to pick up some traction and the euro will be a major beneficiary. At that point, I would anticipate that the euro would go looking to reach the 1.1140 level where we peaked last time.

After that, then you could see the market pick up a bit more momentum and look towards the 1.1250 level above. That is a major resistance barrier, not only from last summer, but multiple times on historical charts. This of course would all depend on the US dollar itself losing value and perhaps interest rates in America continuing to slide. On the other hand, if we were to break down below the 50 day EMA, which is currently residing around the 1.0870 level, it opens up a deeper correction toward the 200 day EMA near the 1.08 level.

After that, you would have the 1.0750 level offering support. Regardless, this is a market that I think continues to be choppy, and therefore, it doesn’t inspire a lot of desire to put money to work right now. If you’re a short-term range-bound trader, this might be a decent market to deal with between the 1.10 level and the 50-day EMA, but right now, that’s about all I see. It just doesn’t look like it has a lot of traction. Because of this, I don’t necessarily think that it’s time to trade in this market, but there are a couple of obvious levels that you can trade off if we get a breakout or if you are willing to drop down to very short time frames. At this point, the euro/dollar pair is going to be tailored for short-term trading as it has been a very predictable range over the last 4 or 5 trading sessions.

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