EUR/USD Price Forecast – Euro continues to grind higher

The Euro continues to grind higher, but we are getting to the roughly “fair value” area of the overall consolidation, with the 1.12 level on the bottom as support, and the 1.15 level as resistance above. Since we are right in between the two, I would anticipate that there is a lot of noise in this area, so quite frankly as it is a 50-50 shot, I don’t have any interest in placing a trade. However, there are couple of guidelines that I’m willing to pay attention to set up the next trade.

EUR/USD Forecast Video 20.03.19

The 1.1450 level above is the beginning of significant resistance that I’m willing to sell into. That being the case, I’m obviously going to be paying a lot of attention to that region, just as to the downside I think that the 1.1250 level underneath is an area where I’d be willing to start buying. I would keep my position size small, as eventually we will break out and move the markets pretty significantly in one direction or another.

The 50 day is right in the middle of the last couple of candles, so that will also attract a certain amount of attention. We are making lower highs, but we’ve done this in both directions while in this range previously, so I wouldn’t put too much stock into seeing that. With the Federal Reserve on tap this week, it’s very likely that we are going to see the Federal Reserve do what it can to bring down the value of the US dollar, so that would be the alternate argument to a drift lower.

Please let us know what you think in the comments below