EUR/USD Price Forecast – Euro rallies to start week

The Euro rallied a bit to start the week, but quite frankly faces a ton of resistance above that should continue to be an issue. With this in mind I’m looking to fade this market, not pick it up.
Christopher Lewis
EUR/USD daily chart, September 10, 2019
Background of euro banknotes

The Euro rallied a bit during the trading session on Monday, reaching towards the top of the candle stick from the previous session. At this point in time though I think there is plenty of resistance above that will continue to cause issues, so therefore I anticipate that the market will probably run into a lot of barriers. The 1.11 EUR level continues to be massive resistance, and I think that the 50 day EMA running towards that level will continue to cause some issues. With that being the case, I think it’s very unlikely that we go much higher, and I will be looking for signs of exhaustion to take advantage of.

EUR USD Forecast Video 10.09.19

At this point in time, I believe that signs of exhaustion will be taken advantage of as it is with the trend. At this point in time it’s very likely that the downtrend will reassert itself as Germany is heading into recession, and of course European bonds continue to offer negative yields. Ultimately, this is a market that has been in a downtrend for quite some reason, and it’s very likely that the ECB will do or say something this week to try to drive down the value of the Euro as debt is becoming a major issue in that region. Beyond that, there’s that whole “Brexit” thing that you probably have heard of for three years at nausea. That of course is still a mess, and not getting any better from what I can see. Quite frankly, the US dollar is probably going to win by default.

Please let us know what you think in the comments below

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US