FXEMPIRE
All

EUR/USD Price Forecast – Euro slams into trend line

The Euro slammed into a downtrend line during the trading session on Tuesday as traders are beginning to digest the idea of even further trade tariffs between the American and China, which of course isn’t going to help much.
Christopher Lewis
EUR/USD daily chart, September 19, 2018

The Euro rallied initially during the trading session, but as China announced the more tariffs, the US dollar started to pick up steam due to traders jumping into the treasury market. The pair also had tested a downtrend line that has been causing some issues, so it’s likely that the pair will continue to struggle in this general vicinity. When I look at the hourly chart, I could see that we continue to see a lot of pressure in this area, so quite frankly none of this surprises me. What was surprising is that equities traders were looking to ignore the situation between the United States and China, but I think things are starting to get to the point where eventually it’s going to scare the market.

The alternate scenario of course is that we break above the 1.1725 level, which would be very bullish, perhaps sending the market towards 1.1750 level, and then the 1.18 level after that which is the top of the larger consolidation. However, I think that would take a lot of effort, much more effort than a short-term pullback would, so I suspect the short-term pullback is what we are about to see. If we were to break down below the 1.1660 level, then I think we would probably drop to the 1.1625 handle next. Otherwise, I think you can expect a lot of choppiness and general aggravation in this pair as it is highly congested with the US trade war agitating things, but then again things aren’t exactly great in the European Union either.

EUR/USD Forecast Video 19.09.18

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