EUR/USD Forecast – Euro Continues to See Support at Same Level

Euro vs US Dollar Technical Analysis

You can see that on the four hour chart, the Euro has rallied again, and it looks like we are just simply bouncing around in the same region that we have been in for a while. You’ll notice that the MACD is starting to show higher lows, but it hasn’t crossed over into positive territory. When we look at the stochastic oscillator, we have a little bit different situation where the market has crossed a couple of candlesticks ago and it now looks like it’s racing towards the upside, which at this point very well could be near the 1.0740 level.

After all, that’s an area that has been rather significant resistance previously, and as a result, it would not be a huge surprise to see more of the same. Part of what we might be witnessing is the market just getting flat ahead of the core PCE numbers on Friday, which is a major input of what the Federal Reserve does as far as monetary policy is concerned.

So, with that being the case, it just looks like we are meandering in the same overall range that we have been in for several weeks now. I believe that we are trying to do everything we can to build up pressure to break out. Whether or not we actually do it anytime soon remains to be seen. The sideways action has shown itself to be very stringent, and therefore I think we are building pressure at this point.

For a look at all of today’s economic events, check out our economic calendar.