EUR/USD Price Forecast – Euro continues to struggle near 1.14

The Euro continues to be a bit sluggish, although I think it’s more or less consolidation than anything else right now. After all, the European Union is dealing with the whole Italian situation, and of course that is going to weigh upon the Euro. But at the same time we have the Federal Reserve sounding a little bit more flexible, which could be slightly US dollar negative. Beyond that, we have a US dollars shortage around the world, and that of course favors strength in the greenback. In other words, expect a lot of noise and not much in the way of traction.

EUR/USD Video 03.12.18

The Euro has become a short-term trading environment over the last couple of years, and there’s nothing on this chart that suggests we are about to change. I still see massive resistance that extends from 1.14 to the 1.15 handle, just as I see pretty significant support at the 1.13 level underneath extending down to the 1.12 level. If we you are a short term trader that likes range bound trading, this is the pair for you. However, if you are looking for bigger moves, you might be better off looking to trade the Euro against other currencies. There is a general downward bias though, so I would assume that feeding short-term rallies might be a bit easier than trying to pick up value on dips. Either way, don’t expect much in the way of distance.