EUR/USD Price Forecast – Euro Slams Into Resistance

The Euro has rallied significantly during Monday trading, slamming into the crucial 1.12 handle. This is an area that has been important more than once, so the fact that it would hold as resistance should be relatively expected. At this point, I believe that if we can overtake the 1.1250 level, then we will start to complete the beginning of a major trend change. However, if we were to break through the bottom of the candlestick from Friday trading, that would be a sign that we aren’t ready to do so and could open up the door to reaching 1.10 again. All things being equal I would anticipate a lot of noise in this pair, but it certainly worth watching as if we get a bit of a trend change, this could be a long term event.

EUR/USD Forecast Video 07.01.20

I am starting to see a correlation with several currencies around the world in a move against the US dollar. I anticipate that the market will continue to be very choppy and noisy, but that is relatively standard fare for the Euro anyway. As the 50 day EMA, pictured in red on the chart, starts to reach towards the 200 day EMA, pictured in black on the chart, we could see the “golden cross”, which is a longer-term “buy-and-hold signal.” That of course will attract a lot of attention but quite frankly you can only read so much into it. At this point, we have a couple of clear levels to pay attention to as to determining the next move. In the meantime you need to simply wait as testing the market in the middle of this to levels will be very difficult.

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