EUR/USD Weekly Price Forecast – Euro Recovers From 50 Week EMA

The Euro rallied during the course of the trading week after bouncing from the 50 week EMA. The market breaking to the upside and reaching towards the 1.19 level was a positive sign, but we still have a lot of noise between here and the 1.20 level. At this point time, the market is likely to continue to see a lot of noisy behavior. The candlestick did wipe out the better part of two candlesticks that were negative, so that of course is a good sign. However, I think what we are looking at here is a scenario where we will see a lot of noise in this general vicinity.

EUR/USD Video 12.04.21

If we break down below the hammer from the previous week, then it is likely that we could go down to the 1.16 handle. The 1.16 level of course is an area where we have seen a lot of support previously, that possibly extends down to the 1.15 handle. The 200 week EMA is slicing through that area, so that of course makes quite a bit of sense that shows signs of support. If we were to turn around a break above the 1.20 handle, then the market is likely to go looking towards the 1.2250 level. I think the one thing you can count on here is a lot of noise, but all things being equal it does look like it is trying to at least recover a bit over the next several weeks. There is a lot of noise between here and the 1.16 handle, so it takes quite a bit of momentum to finally send this market in one direction or the other.

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This article was originally posted on FX Empire

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