EUR/USD Price Forecast – Euro Falls Again

The Euro fell during the trading session on Thursday, as we continue to see a lot of concerns when it comes to economic activity around the world. This creates demand for US treasuries, and therefore it drives up the demand for the US dollar itself. Ultimately, this is a market that I think it does break down, but we are starting to return to the usual choppy behavior of the Euro. Ultimately, this is a market that I think probably goes looking towards the 1.08 level, and perhaps even breaking down below there to go towards the 1.0650 level.

EUR/USD Video 17.04.20

I believe that the 1.10 level above offers quite a bit of resistance from a psychological and structural standpoint, and it is right between the 50 and the 200 day moving averages. In other words, this is an area that attracts a lot of attention in general, so having said this, it’s likely that the market will continue to drop from here due to the fact that it is so bearish looking out there in general and risk appetite is probably through the floor. If that’s going to be the case, it’s likely that we will see the rally sold into on short-term charts before we get some type of significant break down. If we were to get a daily close above the 1.11 level, that would change everything, but we are quite a bit of distance from that level, so I still remain bearish, even if we do get a little bit of a bounce.