HomeEUR USD forecast

Weekly outlook for the most popular FX pair, the EURUSD. Analysis with the key events for the week ahead, and possible trading ideas.

EUR USD Forecast Nov. 8th To Nov. 12th Messages in this topic - RSS

Where do you see the EURUSD pair this week?

Bearish:3
Bullish:0
Going nowhere:0
John Lee Rossi
John Lee Rossi
Administrator
Fundamental & Technical Research
Posts: 12


23 days ago
John Lee Rossi
John Lee Rossi
Administrator
Fundamental & Technical Research
Posts: 12
Hi traders, and we are back with everyone's favorite pair this week.

The EURUSD maintains its daily downtrend intact but keeps bouncing back from the 1.1520 level, where all supports converge. Without clear signals in either direction, we expect the pair to continue trading inside its channel, consolidating a downside triangle where there is still some space for one more bounce against the daily downtrend resistance.

We expect most price action to occur inside the orange square shown in the Daily chart below; however, the pair will eventually have to break in either direction, giving us further clues on how the major trend will continue to develop. Major economic news from either the US or the Eurozone will most likely be needed to trigger a breakthrough in either direction; until that time, the space for speculation and price action keeps narrowing.

Based on the current daily and weekly trends, any level between 1.16 and 1.162 would be a decent entry point for a short position, although we don’t expect it to go a lot further below the 1.1540 level.

A close above the previous resistance point at 1.167, however, would be indicative of closing any short positions on the pair, as it would mean the end of the current daily downtrend and a possible rebound on the weekly chart that could, with enough time, send prices back to retest the 1.1880 area that worked as resistance at the beginning of September.

Such breakthroughs would probably see a correction around the 1.1770 area. This is better observed in the Weekly chart below.

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