EUR/USD Weekly Price Forecast – Euro goes back and forth during the week at major support
The Euro went back and forth during the course of the week as we continue to test major support. This major support area is crucial for the longer-term attitude, so I believe that we are at a major inflection point.
The Euro went back and forth during the week, as the 1.12 level is massive support based upon the larger move. The 61.8% Fibonacci retracement level is right at this area, so it makes quite a bit of sense. Looking at the chart, the market has been bouncing around between the 1.12 level underneath and the 1.15 level above. While we are slumping in general, I believe this is where the Euro will make its stand. That being the case, I think that if you are patient enough you should recognize gains, but you should also recognize that a move below the 1.1150 level will open the door to a potential 1.10 print. The risk to reward ratio certainly favors a bounce, but as with all things forex nothing is guaranteed.
EUR USD Forecast Video 08.04.19
Looking at the chart, it’s not until we break above the 1.15 level that you have a longer-term “buy-and-hold” situation, and I think at this point we would also need to see a lot more risk appetite, into the marketplace so that the US dollar lost strength. The US dollar is overbought though, so I do believe that will happen given enough time.
Looking at the chart, I also recognize that the 1.10 level would be extraordinarily supportive due to the large, round, psychologically significant figure. I think at this point we are getting close to a bottom, but obviously it’s going to take a certain amount of wherewithal and patience.
Please let us know what you think in the comments below
