EUR/USD Price Forecast – Euro Very Volatile

The Euro initially tried to rally during the trading session on Wednesday, breaking back above the 1.10 level again. However, that’s an area that has offered resistance, and therefore it’s likely that the market is seen that area as not sufficient enough for support. Because of this, I believe that the market will probably look at that as a short-term ceiling, but you can see how quickly we slice through at the last couple of times we have been there. Because of this, you must use short-term charts to enter the market because it will give you an opportunity to keep your risk relatively small.

EUR/USD Video 19.03.20

Looking at this chart, it’s obvious that we will continue to see negativity, and as long as we are in more of a “risk off” environment, it’s very likely that this pair will continue to break down. At this time, it’s very likely that we are going to go looking towards the lows again but that doesn’t mean that we will get the occasional rally. The occasional rally should be looked at as an opportunity to get short, but I would not be hanging on for larger positions, as the market simply doesn’t dictate that type of stability. In an environment that is extraordinarily volatile like we are, we need to either keep our position size small and take quick profits or keep our position size even smaller and look at extraordinarily long-term charts like weekly or even monthly ones. In other words, it’s about risk mitigation at this point, and therefore it is a relatively easy environment to functioning, if you can get past the inevitable greed that people see once there are long candles.