EUR/USD Price Forecast – Euro extends higher during the day but finds sellers

The Euro rallied initially during the trading session on Tuesday but then turned around to show signs of exhaustion. However, by the time it is all said and done you should look at this as being in the middle of a massive consolidation area, so therefore it’s a bit difficult to get involved right now. It does look like we are running out of steam early in the day, but it really doesn’t matter, because we have seen such bullish pressure underneath that is very likely buyers will be found just below.

EURUSD analysis Video 01.03.19

For quite some time, we have been grinding between the 1.12 level on the bottom and the 1.15 level on the top. The 1.12 level underneath has been massive support, and therefore I believe that this market will hold that level. Beyond that, we also have the 61.8% Fibonacci retracement level just below there, so it’s very likely that we have buyers all the way down to that area. From what I see, it looks as if we are trying to form a major base for a turnaround and uptrend, but obviously it’s going to take significant time to fulfill that scenario.

I’m especially interested in buying closer to the 1.1250 level, as it gives me more value in the Euro. With the Federal Reserve stepping away from a hawkish stance, all we need is some type of strength and the European Union to turn this thing around. Until then, expect a lot of choppiness in this 300 point range.

Please let us know what you think in the comments below