EUR/USD Weekly Forecast – Euro Pulls Back for the Week

EUR/USD Forecast Video for 24.07.23

Euro vs US Dollar Weekly Technical Analysis

The euro has pulled back during the week, as we are trying to figure out whether or not we can continue to go higher. The 200-Day EMA offers a bit of psychological and technical support, right along with the fact that it is where we had previously seen resistance. It’s possible that we could see quite a bit of support at the psychologically important 1.10 level as well, so I do think that it is probably only a matter of time before we see buyers coming back into the picture.

If we can break above the top of the candlestick for this past week, it opens up the possibility of a move to the 1.15 level, which of course is a large, round, psychologically important figure, and an area that I think will attract a lot of attention in general. All things being equal, this is a market that will more likely than not find more of a “buy on the dips” situation. However, if we do break down below the 1.08 level, it’s very likely that we see the euro fall apart rather drastically. This will almost certainly have something to do with the US dollar in general, and I think given enough time that would be seen in multiple other currency markets as well.

The size of the candlestick from the previous week tells us that the market certainly has a lot of underlying interest, so I would anticipate sooner or later we will have buyers coming back in. All things being equal, this is a situation where we have value hunters underneath, and therefore I would anticipate a recovery given enough time.

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