EUR/USD Price Forecast – Euro continues to struggle at major level

The Euro has struggled at the 1.15 level above, which is the round number that has caused the most trouble for buyers lately. Beyond that, we have the 200 day EMA just above which of course is offering resistance. This is a market that is getting a bit overextended, and as we await the jobs number it’s likely that the market will flatten out a bit. I think signs of exhaustion is a good sign that we will probably pull back towards the 50 day EMA, pictured in red on the chart which is turning higher. I think this does offer a bit of support, and I think that the market will continue to be very choppy.

EURUSD analysis Video 01.02.19

During the Thursday session, we learned that Italy had entered a technical recession, and that of course has weighed upon the Euro in general. I think that the market will continue to focus on that and the fact that the Federal Reserve is softening its stance in general. Overall, the pair should rally longer term, but I do think that we need some type of pullback to find value. I believe that the Friday session will probably be chaotic, but it should be noted that the pair does tend to end up going nowhere by the time we finished the nonfarm payroll Friday session. If we close on the daily chart above the 200 day EMA, that will most certainly send this market much higher over the longer-term, perhaps reaching towards 1.18 level.