Yahoo Finance EUR/USD Price Forecast – Euro Testing Major Support Region
The Euro has reached towards the 1.19 level to see a little bit of support. That being said, if we break down below the 1.19 level, it could open up more selling pressure. At this point, it comes down to what is going on in the yield complex and of course you should also pay close attention to the fact that traders are reacting to the jobs number that was much better than anticipated in the United States.
EUR/USD Video 8.03.21
I think we are going to continue to see the trading public look at whether or not we are going to continue to see the US outperform the European Union, so I think at this point it is very likely that we will see this pair be very choppy. That being said, the market is likely to look at the 200 day EMA as the next supportive region. On the other hand, if we can turn around and retake the 1,20 level, then we could go higher and recapture the market momentum to the upside.
Recently, the biggest problem that we have had has been the erratic behavior of the bond market in the United States, especially as Jerome Powell did nothing to calm the fears of traders out there of higher interest rates. He believes that this is going to be a temporary phenomenon, but traders out there are a bit concerned. Nonetheless, we are still not technically in a downtrend, so I am not quite ready to start selling until we get a daily close well below the 1.19 handle. At that point, it could open up a move down to the 1.16 handle.
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This article was originally posted on FX Empire
