EUR/USD Price Forecast – Euro Slams Into Major Resistance Barrier

The Euro has rallied rather significantly during the trading session on Tuesday as we slammed into the 1.20 level. At this point in time, the market does look vulnerable for a pullback, especially considering that the jobs number comes out at the end of the week in America. That obviously will have an influence on the US dollar, and therefore it should be paid attention to. Underneath, I anticipate that the 1.18 level is going to be a major support level. Furthermore, I think before we even get there it is likely that the 1.19 level underneath will be supportive. In other words, this is a market that I do think you buy on dips.

EUR/USD Video 02.09.20

The market breaking above the 1.20 level would free the Euro to go looking towards the 1.25 level, which of course is a longer-term target that I have had for a while. In the meantime, look at the pullbacks as a buying opportunity, as we are clearly very bullish. All things being equal, this is a market that I think has no way to be sold, as the Federal Reserve is ready to continue pumping the markets full of liquidity, which of course will work against the value of the US dollar in and of itself. Ultimately, I like the idea of buying these dips and eventually hanging on for a bigger move. As you can see, the highs continue to get a little bit higher, just as the lows continue to do the same. This is the grinding of a resistance barrier.

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