EUR/USD Price Forecast – Euro Continues to Drift Lower

Euro vs US Dollar Technical Analysis

The Euro has fallen a bit during the trading session on Tuesday as it looks like the market is ready to test the 1.0650 level. This is an area that has been supported over the last several days and had previously been significant resistance. Because of this, it does make a certain amount of sense that we would see a bit of a fight in this area, but quite frankly I don’t think we are in a situation where we are going to get anything along the lines of a clear-cut move. Quite frankly, the market is just not set up for stability at this point, so expect more volatility.

On the upside, the 1.08 level continues to offer significant resistance, and I don’t know that we can break above there anytime soon. If we do break above there, you can make a strong argument for a “zone of resistance” all the way up to the 1.09 level. The market continues to be very messy and sloppy, so I think at best you are looking at a sideways range-bound market.

However, if we were to break decisively below the 1.0650 level, it’s very likely that we would see an attempt to get back down to the 1.05 level. That scenario is where I would anticipate seeing a lot of psychological and structural support, so it will be interesting to see how that plays out. All that being said, I think we are simply in a negative market that does not have much in the way of a catalyst. At the end of the week, we should see inflation numbers coming out the United States it could give us her next decisive move.

EUR/USD Price Forecast Video 08.06.22

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