The Euro continues to be very quiet as we hover around the 1.13 level, which has been a bit of a magnet for price. The Euro continues to see what a lot of hesitation, which makes quite a bit of sense due to the fact that we have seen noisy behavior for a while and of course you are simply seeing more of the same. With the jobs number missing the way it has, it will be interesting to see whether or not this has a bigger effect. Currently, it does not look as if it is going to change its overall attitude, so I think at this point time we are essentially “stuck in the middle” of a consolidation area.
EUR/USD Video 10.01.22
The 1.1375 level continues to be significant resistance, just as the 1.1225 level underneath should continue to offer support. With this being the case, I think we are to simply going to bang around back and forth in order to try to figure out where we are going next. If you are range bound trader, this might be the market for you as we have such well-defined support and resistance, but it should be noted that the 50 day EMA is starting to come into the picture and therefore it could have its part of play rather soon.
All things been equal, I expect a lot of noisy behavior, but I also recognize that these barriers that I mentioned previously have been very difficult to overcome for more than a month now, so that is something worth paying attention to. If we break out of this range, that would be the “real deal.”
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