EUR/USD Price Forecast – Euro pokes through resistance

The Euro initially rallied a bit during the trading session on Tuesday, breaking above the important 1.1250 level, but looks likely to break back down below it based upon the early reactions in North America. With that being the case it’s very likely that the market could roll over and go looking towards the 1.12 handle. It appears that the range is going to hold before it’s all said and done.

EUR/USD Forecast Video  05.06.19

All things being equal, this is a market that I think is trying to form some type of floor and perhaps turnaround but has not been able to do so quite yet. Obviously, this is a longer-term process and the fact that we are in the beginning of summer suggests that it will probably be very choppy and quiet, but keep in mind that we also have a lot of issues out there when it comes to global trade and of course global demand. With that being the case, it’s very likely that we should probably watch the bond markets in the United States, which have been on fire. A strengthening of the US dollar would make quite a bit of sense, and therefore we could drift back towards the 1.11 handle over the next several sessions.

The alternate scenario would be that we break above the 1.13 level, which could send this market towards the 1.1450 level over the longer-term as it would show major resistance being broken through and could send the Euro higher rather quickly.

Please let us know what you think in the comments below