EUR/USD Weekly Price Forecast – Euro finding support

The Euro has gone back and forth during the course of the week, showing a bit of a neutral like candle. There has been a couple of hammers, a neutral candle, and a couple of semi-shooting stars over the last several weeks, so I think that at this point we are more confused than anything else. This is going to remain a short-term traders type of market, as high-frequency traders have taken over when it comes to this pair. Beyond that, there are a lot of economic concerns when it comes to things like Italy and the debt situation, which is scaring people out of the EU.

EUR USD Forecast Video 03.12.18

However, at the same time the Federal Reserve is looking a little less hawkish than originally thought. Overall, that could bring in some greenback weakness but this is an area that should be supportive based upon previous resistance. This market is at a very important inflection point, and longer-term traders will have to pay attention to whether we can break out of this range. If we break above the 1.15 level, the market could go to the 1.18 handle, which has been resistance in the past. Ultimately, we break down from here I think the 1.1 level will need to hold. If we do break down below there, then I believe that the EUR/USD pair breaks down rather significantly. In other words, you’re going to need to wait until we get some type of large impulsive candle to start putting money to work longer term. We are at a major inflection point, so keep your eyes open but be patient.