EUR/USD Price Forecast – Euro pulls back to support

The Euro has pulled back a bit during the trading session on Tuesday, but it does seem to find a bit of support here at the 61.8% Fibonacci retracement level. Ultimately, with Jerome Powell speaking in front of Congress over the next couple of days, we could get a lot of choppiness but I do think that it is only an attempt to find some type a bottom. Ultimately, this is a market that has been all over the place but if we were to break down below here, it’s very likely that the market could go down to the floor at 1.11 EUR underneath.

EUR/USD Forecast Video 10.07.19

To the upside, if we can break above the 1.1250 level, then we will probably continue to rally. I think a lot of this will come down to the testimony of Jerome Powell in front of Congress, so at this point it’s very likely that what we are going to see is a lot of erratic trading, but perhaps an opportunity to sell off the US dollar will present itself with Jerome Powell talking down the greenback. Any hint of a major dovish attitude coming out of the Federal Reserve will send this market much higher, as we are looking for an excuse to turn around anyway. Ultimately, this is a market that clearly has a floor underneath, so I am looking for buying opportunities. That being said, expect a lot of noise in the market over the next couple of days, but it certainly looks like we are trying to form a base.

Please let us know what you think in the comments below