EUR/USD forecast for the week of July 17, 2017, Technical Analysis

The EUR/USD pair rally during the week, reaching towards 1.15 level. Ultimately, the 1.15 level above offer significant resistance, so I think that if we can break above there and more importantly, close above there, it is a very bullish sign in the market should break out towards the 1.20 level. Alternately, it’s not until we get above there that I am interested in buying this market from a longer-term perspective. After all, we have been in a consolidated area for the last 3 years, and the 1.15 level is the top of that range. Because of this, I think that a breakout will be significant and mean quite a bit.

Waiting for the breakout

If we can close above that level on at least a daily candle, then I feel that the markets one that you should be buying. Until then, it’s very difficult and quite frankly, dangerous to do so. Alternately, if we break down below the 1.13 level, which is the bottom of the hammer from the previous week, that should send the market much lower, perhaps down to the 1.10 level, or even better yet, the gap below. Ultimately, the markets will be paying attention to the Federal Reserve and the likelihood of whether they can raise interest rates with any type of momentum. I think the volatility will probably be the mainstay of this market, as we are on central bank watch.

EUR USD Forecast Video 17.7.17