EUR/USD Weekly Price Forecast – EUR struggles for the week

The Euro initially tried to rally during the week, reaching towards the 1.15 level, an area that has seen plenty of sellers. I think that rolling over at that level and reaching down to the 1.13 level suggests that we continue to have a lot of back and forth volatility in this pair. I think it’s difficult to imagine this market breaking out right now, because quite frankly we have a lot of concerns when it comes to the global economy, not to mention the European Union slowing down a bit. Beyond that, the Federal Reserve looks a bit wishy-washy, but the jobs number came out rather strong this week. In other words, the only thing that I see here is a proclivity for the market to continue to go sideways. The 61.8% Fibonacci retracement level underneath is massive support, so I don’t think that were going to be able to break through it anytime soon. If we do break above the 1.15 handle, then we could go looking towards the 1.18 level.

EURUSD analysis Video 07.01.19

At this point, I think that the markets will continue to be choppy going into the spring, especially considering that the Federal Reserve has recently been “clear as mud.” I suggest that we are probably looking at the market as a short-term market for the time being, so I would stick to some type of range bound system that focuses on lower time frames. However, do not dismiss the importance of a break above the 1.15 level on the weekly chart.