EUR/USD Price Forecast – Euro Continues to GrindThe Euro has gone back and forth during the trading session as the ECB continues its PEPP program going forward.
The Euro has been very choppy during the trading session on Thursday as the ECB had a meeting. At the end of the day though, this is a market that tends to be choppy regardless so that probably would have been nothing more than the excuse for the day. The pair does tend to be very noisy in general, and the fact that we are sitting just above the 1.20 level could keep this market very tight, but it is worth noting that we have been rising quite nicely over the last several weeks, so I do think that we are trying to turn things around, at least in the short term. This leads for a potential target of 1.22, possibly even 1.23.
EUR/USD Video 23.04.21
However, if we were to turn around a break down below the 50 day EMA, then I would have to think that the selling pressure would probably send this market down to the 200 day EMA rather quickly, and then possibly even down to the 1.16 level underneath there. That is an area that is massive support, so I do not expect this pair to break through there anytime soon, and it is worth noting that it would take a lot of destruction to even get there so I suspect that we have more of a choppy market with a general upward bias than anything else going on right now. Because of this, I suspect that a “buy on the dips” type of mentality will probably be used by short-term traders, as it looks like we are probably going to spend the next day or two trying to figure out where to go next.
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