The Euro rallied a bit during the trading session on Thursday, reaching towards the 1.1450 level. There is enough resistance above to keep the market down a bit though, so at this point it’s likely that we may roll over back into consolidation. I believe that the 1.15 level above is massive resistance, and it will take a lot of work to get above there. If we do break above that level, there is a barrier that extends all the way to the 1.16 handle, which is a very noisy area. Quite frankly, I think it’s very difficult to imagine a scenario where we can take a trade for longer-term move at this moment, because there’s so much in the way of noise.
Euro to Dollar Forecast Video 28.12.18
Currently, it looks as if the 1.1250 level is massive support, and therefore I think we are essentially in a steady range bound in this market. It makes sense, because quite frankly we have a lot of issues in the European Union right now, and then the Federal Reserve sounding a bit more dovish than it previously had makes a lot of sense that we could have a lot of conflicting pressure. I would point out that the 61.8% Fibonacci retracement level is just below near the 1.12 handle, so there’s a good chance that we are trying to put in some type of base. Between now and New Year’s Day though, I think it’s going to be very difficult to break out of this area and therefore I will probably stay away, or if anything at all, buying and selling back and forth.