EUR/USD Weekly Price Forecast – Euro rallies during week

The Euro rallied a bit during the week after initially falling as the Federal Reserve seems to be a bit more dovish than originally thought. However, the 1.15 level above is going to cause a lot of resistance, and I think that breaking above that level would be a very strong sign. If we can break above that level, then the market probably goes to the 1.18 handle. I think that this pair is probably going to continue to go back and forth in a very tight range between now and the end of the year, as liquidity will start to dry up. I think that there is massive support at the 1.11 handle, so breaking down below there would send this market much lower.

EUR/USD Video 10.12.18

There is a massive amount of noise and support underneath and with the Federal Reserve suddenly becoming a bit more dovish, I think that the pair will probably rally if there’s any type of good news out of the European Union. Lately though, there hasn’t been much so I think we are simply bouncing around trying to figure out where to go next. This is a market that I think will continue to be very back and forth, so I think that you should be focusing more on short-term charts than anything else. However, be aware that breaking above the 1.15 level is a very bullish sign for longer-term trades, so by all means be aware of that level.

This article was originally posted on FX Empire

More From FXEMPIRE:

• Gold Price Forecast – Gold markets testing major resistance

• AUD/USD Weekly Price Forecast – Australian dollar continues to find support after falling

• USD/JPY Weekly Price Forecast – US dollar falls for the week

• Crude Oil Weekly Price Forecast – crude oil markets looking to find a bottom

• Gold Weekly Price Forecast – Gold markets test major resistance

• GBP/USD Price Forecast – British pound continues to struggle