EUR/USD Price Forecast – Euro rolls over

The Euro rolls over during the trading session on Monday, which quite frankly isn’t a huge surprise considering that we had formed a couple of shooting stars in a row.
Christopher Lewis
EUR/USD daily chart, March 05, 2019

The Euro rolled over a bit during the trading session on Monday, as the pair of shooting star candles foretold of selling pressure. That being the case, we will probably reach down towards the bottom of the overall consolidation area, which is closer to the 1.12 handle. Somewhere just above there, I am willing to step into this market and start buying. Ultimately, I believe that the 1.15 level above is massive resistance, so it wouldn’t surprise me at all to see the market reached towards that area only to roll over again.

EUR USD Forecast Video 05.03.19

We have the 200 day EMA at that area, which of course is a very negative sign. At this point, it’s very likely that we will see a lot of technical selling in that area. Beyond that, we have the European Central Bank looking very unlikely to tighten in the short term, so I think were essentially watching a market bounced back and forth because of the lack of hawkish  behavior from either central bank. I think trading back and forth should be the way to go, and overall this is a great range bound trading market. I don’t see anything that’s going to jump in and make this market break out, but if we do see some type of breakout, then it should be a longer-term move. I currently believe that we have more of an upward bias on the break out, mainly because of the difference in the Federal Reserve. However, until we get out of this 300 point range, I’m going to enjoy your profits at the extreme edges.

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