EUR/USD Price Forecast – Continues to Struggle With Resistance

The Euro rallied initially during the trading session again on Thursday but gave back the gains near the uptrend line that had previously been so supportive in this market. At this point, it looks like the market at the very least is probably apt to go sideways, but now it also is starting to look a little bit like the market might be ready to roll over. To the downside, the 50 day EMA sits just above the 1.17 level, and that of course will attract a certain amount of attention by itself. That being said, the 1.17 level and the 50 day EMA combination is difficult to break through but we have already sliced through at a couple of times so it may not be as difficult as one would think at first glance.

EUR/USD Video 09.10.20

To the upside, it is not until we break above the uptrend line on a daily close that I would be truly impressed, and perhaps think about buying. Even then, I think there is plenty of potential resistance at various spots, extending all the way up to the 1.20 level. Quite frankly, I would need to see some type of fundamental reason to start buying, and right now I just do not have it, so I have to rely solely on technicals.

There has been a lot of arguing about whether or not there is going to be stimulus, but right now it does not look like anything major will be passed in Washington DC, so that should be kept in the back of your mind as well. Ultimately, this looks like a market that is struggling to continue the upward momentum.

For a look at all of today’s economic events, check out our economic calendar.