EUR/USD Price Forecast – Euro Continues to Grind Sideways to Wait for Jobs Number

The Euro has gone back and forth during the course of the trading session on Thursday as we are trying to figure out where to go next. The jobs number on Friday of course will have a major influence on what happens next, and of course the Federal Reserve suggesting that they are going to raise interest rates four times sexier of course makes the US dollar little “stickier” than thought. Ultimately, this is a market that has been consolidating for a while, so I think we are simply waiting for directionality.

EUR/USD Video 07.01.22

The 50 day EMA is reaching into the consolidation area and shrinking quite drastically. That being said, the market will more than likely pay quite a bit of attention to the 1.1375 level above which of course is a major resistance barrier, and now the 1.1225 level underneath is going to offer a significant amount of support. As we continue to look at this through the prism of consolidation, then one would think that we will simply go back and forth and the jobs number may give us a little bit of momentum, but more often than not by the time we get done with the nonfarm payroll Friday, the market has gone nowhere. That very well could be what happens during the trading session on Friday, as we are trying to figure out what we are going to do. We have a couple of levels to play off of, so if you are range bound trader this might be your market, but beyond that I think that the market simply will continue its behavior.

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