EUR/USD Price Forecast – Euro Continues To Tread Water At Big Figure

The Euro continues to go back and forth around the 1.10 level, as it essentially seems to have nowhere to go. At this point, the market is trying to figure out where to go next, and quite frankly it just doesn’t have a catalyst.
Christopher Lewis
EUR/USD daily chart, November 15, 2019

The Euro has gone back and forth during the trading session on Thursday, as we dance around the 1.10 level. This is an area that will continue to cause a significant amount of interest in the marketplace as it was previous resistance, and now is shown itself to be supportive again. Furthermore, it is a large, round, psychologically significant figure so that of course attracts a lot of attention in and of itself.

EURUSD analysis Video 15.11.19

Looking at the chart, it’s easy to see that we have been in a downtrend for quite some time, as we have initially tried to rally but formed a larger “M pattern” just below the 200 day EMA. Looking at the chart you can also see that every time we have tried to rally with any type of significance the marketplace simply could not take off to the upside. At this point, the market continues to be choppy, but it does look like it’s losing a little bit of the downward momentum. Look at any rally at this point as a potential selling opportunity, as the downtrend in the Euro as well deserved.

Keep in mind that the European Central Bank is going to loosen monetary policy even further while the Federal Reserve is essentially sitting on hold. While it isn’t necessarily hawkish, the fact that the Federal Reserve isn’t overly dovish makes it the winner by default. Fading rallies and selling breakdowns is how this pair should be traded, as we reached towards the 1.09 level rather soon.

Please let us know what you think in the comments below

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.