EUR/USD Price Forecast – Euro Quiet for Friday Session

The Euro has rallied a bit during the course of the trading session on Friday, but at the end of the day we are still in a very tight range. Ultimately, this is a market that I think will continue to see a lot of noise in this general vicinity due to the fact that we are bouncing around the 200 day EMA. Furthermore, there are a lot of questions as to whether or not the Federal Reserve is going to be able to tighten, and at this point in time I think the market is starting to come to terms with the idea of the Federal Reserve being stuck.

That being the case, the market is likely to continue to see the 1.20 level above is a barrier, so if we were to break above that level, then it is likely that we could go much higher. However, it is likely that we would see quite a bit of significant resistance.

EUR/USD Video 28.06.21

To the downside, I think that the 1.1830 level is significant support. Nonetheless, we have a lot of headwinds out there for both directions, so I think we simply chop back and forth. This is also summertime trading, so there is the possibility that we simply go nowhere for a while, perhaps using the 200 day EMA as a bit of a magnet for price as we have no clarity at this point. Quite frankly, what I prefer to look at this pair as an indicator as to where the US dollar may go in general. With that being said, I am not necessarily looking to trade this pair, but I will pay attention to it because it could give you an idea as to what to do with the greenback against other currencies.

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