EUR/USD Price Forecast – Euro Pulls Back Looking For Support

The Euro did pull back a bit during the trading session on Wednesday, initially trying to break higher but then drifted lower. The 1.10 level underneath should be a massive support level, as it has been several times recently. The market has been bouncing around in a 200 PIP range and has recently tried to go back and forth in that area in multiple moves. If we can break down below the 1.0980 level, then it’s likely that the market will go looking towards the 1.09 level after that. We have been in a longer term downtrend in general, but both central banks are suggesting that interest-rate cuts could be coming, and it’s likely that we will continue to see major issues. After all, the global economy is a bit all over the place yet again.

EUR/USD Forecast Video 05.02.20

To the upside, if we can break above the 200 day EMA it’s likely that the Euro will start looking for the 1.12 level above, which has been major resistance. If we were to break above the 1.1250 level, something that doesn’t look very likely to happen anytime soon, then it could be a trend change. In the short term, it’s very likely that we go looking towards 1.10 level before getting a short-term bounce. This is a market that tends to be a day trading environment, with that in mind, short-term moves of 20 pips or so probably make the most sense in this pair as has been the case for quite some time. However, breaking out of this range would signify a much bigger move.

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