EUR/USD Weekly Price Forecast – Euro Continues to Show StrengthThe Euro initially pulled back during the week, but then turned around to show bullish pressure. It looks as if we are going to try to break out to the upside.
The Euro has pulled back a bit during the course of the week, only to turn around and slammed through the 1.19 level above. That is an area that extends to the 1.20 level as massive resistance, but as we are closing towards the top of the candlestick it suggests that we are going to continue to go to the upside. This is not to say that is going to be easy, but I think at this point in time, but we need to do is look at shorter-term charts in order to pick up a bit of value. Buying the dips should continue to work, as we see plenty of reasons for the US dollar to fall, most importantly the Federal Reserve flooding the market and people are starting to price in the idea of an economy after the vaccine.
EUR/USD Video 30.11.20
I do not necessarily know that it is going to be a situation where we go straight through the top, but I recognize that the momentum is definitely to the upside at this point in time. We still have to deal with the Brexit situation so it is possible that the headlines could move this market in both directions. That being said, you need to be cautious with your position size, but it certainly looks as if buyers are starting to take things in their own hand. With this being the case, it is difficult to imagine a scenario where I would be short of this market, at least not without breaking the bottom of the weekly candlestick that just printed.
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