EUR/USD Price Forecast – Euro Trying to Stabilize

The Euro fell a bit during the trading session on Wednesday, but then bounced slightly to somewhat stabilize the situation. Ultimately, this is a market that I think will try to rally back into the previous range, but with the ECB statement and press conference coming out on Thursday, it is a bit risky to assume anything at this point. Quite frankly, I think we are starting to see the oversold condition of the US dollar make itself known here. The 1.20 level is a massive area of concern for the ECB, and it seems like every time the Euro gets near that level, they start talking again. I would not be surprised to see something spook the Euro during the trading session.

EUR/USD Video 10.09.20

I do not necessarily think that it is going to be a major selling event, just that we may get a bit of a pullback from here. The 1.17 level should be supportive, and if we break down below there is very likely we go looking towards 1.15 handle underneath which I believe is even more supportive. Remember, no matter what the ECB says or does, the Federal Reserve is also printing as fast as they can, so that puts upward pressure on this pair. In other words, I think it is going to continue to be very noisy and difficult to say the least but once we get through this week we should get a little bit more in the way of clarity. I am very interested in seeing how the Thursday candlestick into them, so I will remain on the sidelines when it comes to this pair during the session.

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