EUR/USD Weekly Price Forecast – Euro Looking Confused

The Euro went back and forth during the course of the week, as it look like we were breaking down quite drastically at one point, but we also have pressed the 1.20 level above which is an area that will attract a lot of attention due to the fact that it is a large, round, psychologically significant figure. If we can break above that level, then it is likely that we could go looking towards the 1.22 level. However, if we were to turn around a break down below the bottom of the candlestick for the week, that could send this market much lower, perhaps reaching down towards the 1.16 level.

EUR/USD Video 15.03.21

Keep in mind that the yields in the United States continue to be a main focus on what is going on here, so those yields continue to rise, that could cause havoc in this pair. However, it does look like we are trying to make some type of longer-term decision, so I think it is simply a matter of following which direction we break out of from the candlestick, as we have clearly defined levels on the chart that will be targeted. This does not mean that any particular movie is going to be easy, just that we will probably continue in that direction. Keep in mind that this pair does tend to be very choppy, so it should not be surprising at all that we see such erratic behavior. Keep an eye on the 10 year yield more than anything else, because it will be inverse of what we see in this pair going forward.

For a look at all of today’s economic events, check out our economic calendar.