EUR/USD Price Forecast – Euro Bounces Slightly on Friday

The Euro has initially pulled back against the US dollar on Friday, but then turned around to rally again. At this point, it looks like we are simply trying to grind back and forth between the 1.08 level on the bottom and the 1.10 level on the top. At this point, I think the market is trying to tighten up and go back to normalcy, which would be something that a lot of traders would like. At this point, I believe that the market is going to bounce back and forth in this area, so I think it’s only a matter of time before we have to make a decision. In the meantime, I think we simply trade some type of range bound system in this 200 point range.

EUR/USD Video 20.04.20

If we do break down below the 1.08 level underneath, then the market probably reaches towards the 1.0650 level. On the other hand, if we were to break above the 1.10 level and can get above the 200 day EMA in the same move, then the Euro has a chance to rally significantly. At this point though, it looks like we are simply crushing volatility which is in and of itself a good sign for Forex markets in general. If you are a short-term range bound player, this is probably the market for you as it typically tends to be. Volatility in this pair is typically very light, with the last couple of months being a bit of an outlier to the norm.