EUR/USD Price Forecast – the Euro rallies again

The Euro has bounced significantly during the trading session on Monday, not so much in distance, but by breaking above the resistance it’s a very strong sign. If we can continue to go higher, and more importantly break above the 1.17 level above, the market should then continue to go to the 1.18 handle after that. Short-term pullbacks could offer value the people are willing to take advantage of, so keep that in mind as well.

Underneath, I see a lot of support at the 1.1625 level that could continue to attract buyers based upon value, and the fact that we are starting to see a turnaround in the overall momentum. Perhaps the market has overreacted to the ECB announcement, and that being the case I think that a bit of a correction has been overdue. Beyond that, we need to keep in mind that the US dollar may be suffering a bit due to the potential trade war heating out, and that of course has money looking towards the Euro as it is considered to be the “anti-dollar.”

Longer-term, if we can break above the 1.18 handle, the market could continue to go to the 1.20 level after that. However, I would expect a lot of noise as there typically is in this pair, so I am not looking for longer-term trades at this point and believe that short-term “buying the dips” continue to be the best strategy.

EUR/USD Forecast Video 26.06.18