EUR/USD Price Forecast – the Euro falls on FridayThe Euro breaks down significantly during the trading session on Friday, showing just how precarious things are at the moment. There are a lot of concerns about the Brexit, and of course this will affect not only the United Kingdom, but also the European Union.
The Euro broke down during the trading session on Friday, reaching below the 1.13 level. We have broken below the bottom of a symmetrical triangle, so this does suggest that perhaps we are going to go lower eventually. At this point, it’s likely that short-term rallies will continue to be faded, as the situation between the EU and the UK continues to deteriorate. Ultimately, I believe that the market may go looking towards 1.11 level between now and the end of the year. I believe rallies will be faded, as we continue to see a lot of concerns as a “hard Brexit” will not only damage the United Kingdom, but also damage the European Union and its fragile economy.
EUR/USD Video 17.12.18
I think at this point, we are probably not looking at major moves, but just more of a general grind lower. I don’t like trading this market for more than short-term trades, and that is especially true this time of year. I do think that we are still essentially range bound, but with more of a downward slant than anything else. If we did break above the 1.15 handle, that would change everything but right now it looks very unlikely to happen. I think there is a massive amount of support underneath though, as the 61.8% Fibonacci retracement level, somewhere near the 1.11 handle, means that there is probably limited downside although it certainly seems to be where the attitude of the market leans towards.