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EUR/USD Weekly Price Forecast – Euro Continues to Grind Sideways

By:
Christopher Lewis
Updated: Mar 1, 2024, 17:44 UTC

The euro has gone back and forth during the course of trading this week, as we just don’t have anywhere to be at this point, and of course we continue to pay close attention to the 1.08 level.

In this article:

Euro vs US Dollar Weekly Technical Analysis

Taking a look at the euro on the weekly timeframe, we see that it has basically gone sideways most of the week as we continue to walk along the 50 week EMA. All things being equal, we are very much in a consolidation zone. So, none of this really should be a huge surprise as the euro and the dollar both are being influenced by the fact that the central banks from the respective areas are likely to cut rates later this year and that of course, does not do much in the way of favors for a currency. With that being said I do recognize that there is a well-defined consolidation area with the 1.07 level underneath being support and the 1.10 level above being significant resistance.

Until we break out of this range, I think this is a pair that you will have to trade from shorter timeframes and more likely than not, in a range-bound manner. Looking at the charts, this is an area that I think we will be very comfortable in for the bulk of the year. In fact, it would not surprise me at all to see this market do almost nothing all year, and if you look at last year, it was a very well-defined range, despite the fact that we did move back and forth. All things being equal, this is a market that is and continues to see a lot of volatility, but more or less on short-term charts.

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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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