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EUR/USD Price forecast for the week of March 19, 2018, Technical Analysis

By:
Christopher Lewis
Updated: Mar 17, 2018, 07:06 UTC

The EUR/USD pair initially rally during the week but rolled over again to form a shooting star. We are currently trading in a very tight consolidated range from a longer-term standpoint, but we most certainly have plenty of supportive levels just below that could come into play.

EUR/USD weekly chart, March 19, 2018

The EUR/USD pair has gone back and forth over the last week but ended up rolling over to form a bit of a shooting star. While this is a negative candle, and it was the candle formed the previous week, we also have a hammer from a couple of weeks ago, so therefore I think we will probably continue to see a lot of back and forth short-term choppy trading. As you can see on the chart, the uptrend line is below, just as the 1.21 level underneath is support also. I think that given enough time the market should continue to see buyers jump into this market at lower levels, but we have recently seen some less than impressive European economic figures. Because of this, I think the market is catching his breath, but if we do get plenty of buyers underneath and get a nice bounce, we will almost certainly go looking towards the 1.25 handle again. A break above that level frees the market to go much higher, perhaps reaching towards the 1.32 level, which is my longer-term target based upon the previous bullish flag being broken out to the upside.

EUR USD Forecast Video 19.03.18

If we were to break down below the 1.21 handle, that would not only clear the uptrend line, but the purple box that I have on the chart that shows the most recent breakdown. By doing that, we would almost certainly pull back significantly, and could put the entire uptrend into jeopardy.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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