EUR/USD Weekly Price Forecast – the Euro continues to struggle

The Euro continues to look very soft overall, as we see a lot of bearish pressure, which has picked up over the last week. With the ECB President Mario Draghi mentioning that the economic numbers have been lower than anticipated, but still looking to tighten monetary policy next year, it has Euro traders disheartened. At this point, I suspect that we are probably going to break down below the hammer from previous lows, and go driving towards the 61.8% Fibonacci retracement level, which is essentially the 1.12 level. The one thing that may save the Euro from doing that before we close out for the week is the weekend itself. At this point, I would look for some type of short bounce to the 1.1450 level, maybe as high as 1.15 level before sellers come back to punish the Euro again.

I think at this point you are probably going to see a lot of volatility, but with the situation globally getting worse, it makes sense that money goes into the US treasury markets, which of course is one of the ultimate safe havens. With that being the case, I think we’d continue to see a lot of negativity and would not be a buyer until we break above the 1.15 handle. If we did break above there, then the market could go as high as the 1.18 level, but at this point I think that seems to be rather unlikely. It looks like the route is on when it comes to the Euro.

EUR USD Forecast Video 29.10.18