EUR/USD Forecast – Euro Continues to Look Bland

Euro vs US Dollar Technical Analysis

The Euro has been very noisy in the early hours of Monday as it looks like we are just killing time. We are above the 1.08 level, an area that has been somewhat important in the past, but the market breaking back down below the 1.08 level could open up a move down to the 1.0750 level. On the other hand, if we could break above the 1.0850 level, then we could go looking to the 1.09 level. All things being equal, this is a market that I think continues to see a lot of noise, mainly due to the fact that the ECB recently cut rates and people are starting to bet on the Federal Reserve having to cut rates rather soon as well.

The problem of course is that there is still plenty of inflation in the United States and that is part of what’s keeping them at bay. All things being equal, I think this continues to be very noisy and choppy and quite frankly nonsensical. If you’re a short-term trader, this is a pair that you might be seriously looking into for quick moves on perhaps the 15 minute chart, 30 minute chart, but anything beyond that, you’re going to be struggling. The euro is just simply meandering around from one big figure to the next. And it has been simply a market that had nowhere to be over the last couple of years. And I think we’re still in that pattern.

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