EUR/USD Price Forecast – Euro Testing Major Support Region

The Euro fell a bit during the trading session on Wednesday to reach towards the 1.20 level. This is an area that begins support all the way down to the 1.19 level, so I think that it is possible we see this market reached into this 100 point area in general. All things being equal, the market certainly will find a certain amount of buyers in this area, so I think it is worth paying attention to. That being said, this is a market that is still very much in an uptrend, so it is worth paying attention to. Nonetheless, this is a market that has been in a range of 300 points between the 1.20 level and the 1.23 level.

All things being equal, think this is a market that is trying to figure out where to go for a bigger move. In the meantime, we are debating whether or not the European economy is in more trouble than the US, and therefore it makes quite a bit of sense that we are going to go back and forth as we kick around the idea of stimulus as well.

EUR/USD Video 04.02.21

In general, the question then becomes whether or not we see the European Union recover after the lockdowns and the dismal economic numbers, and whether or not vaccines can rollout quicker in the EU which has been a major problem. It does appear that the United States is probably going to recover quicker than the EU based upon what we have seen lately, so expect more volatility ahead.

For a look at all of today’s economic events, check out our economic calendar.