EUR/USD Price Forecast – Euro Shows Signs Of Failure

The Euro has rallied initially during the trading session on Thursday but gave back the gains as we reached towards the 1.12 level. By failing here, it shows just how precarious this recent upward motion is.
Christopher Lewis
EUR/USD daily chart, November 01, 2019

The Euro initially tried to rally during the trading session on Thursday but struggled at the recent highs again, turning around to show signs of exhaustion. By doing so, it looks as if the market isn’t ready to go higher anytime soon, as the 200 day EMA looms large just above near the 1.12 to handle. That should continue to cause major selling pressure, as the market would then reach down towards the bottom of the recent consolidation. The 1.1075 level has offered significant support so at this point in time it’s likely that the market will continue to find buyers in that area. Beyond that, the 50 day EMA underneath there should offer better support.

EURUSD analysis Video 01.11.19

With the jobs number coming out on Friday, it will more than likely cause a bit of volatility, so give it enough time the market will undulate back and forth. At this point, if we break above the 200 day EMA is a very bullish sign, but we need to see a significant break out and perhaps even a weekly close above their as well. The market breaking below the 50 day EMA would send this market down to the 1.09 level below, which is the most recent low. As this market continues to show signs of exhaustion, sellers will come in and take advantage of the longer term trend over the last three years. Quite frankly, this looks like a decent sell opportunity unless of course we get an impulsive rip to the upside after the figures come out.

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