EUR/USD Price Forecast – Euro Pulls Back Toward Support

The Euro has pulled back a bit during the trading session on Thursday as we await the jobs figure on Friday. Ultimately, it looks as if the 1.22 level continues to be a bit of a magnet for price, and that is something worth paying close attention to. Because of this, it is obvious to me that the market is killing time in order to wait for the jobs figure on Friday.

EUR/USD Video 04.06.21

Nonetheless, this is a market that is in an uptrend, and therefore it is likely that should continue to be the case. The 50 day EMA of course is a technical support indicator that a lot of people are paying attention to, currently hanging around the 1.21 level. Beyond that, the US dollar is on its back foot in general, so it does make sense that any dip at this point in time will continue to find buyers looking to take advantage of value. In fact, I believe that the 1.20 level is a significant “floor in the market”, so as long as we can stay above there, I would remain bullish.

If we were to break down below the 1.20 level, then it is possible that we could see a drop towards the 1.1830 level, but I do not see that being the likely outcome. If we can break above the 1.23 handle, that opens up the possibility of a move towards the 1.25 level as it is a large, round, psychologically in EV and structurally important level from a historical standpoint. With all that being said, I do think that we are going to get there given enough time, but as usual this pair will be a grind.

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