EUR/USD Price Forecast – Euro falls only to find support at major level
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The Euro initially fell hard during the day on Thursday but found the 1.16 level supportive. This is the bottom of the symmetrical triangle, and of course a large, round, psychologically significant figure. At this point, I believe it’s only a matter time before market participants try to break out of the symmetrical triangle but expecting them to do so before the jobs number is probably reaching a bit. However, if we were to break down below the 1.16 level, then I think the market could unwind towards 1.15 level where I see even more significant support. Turning around, I think that a break above the 1.1750 level is probably a major resistance barrier, and the clearance of that level would probably send this market back to the 1.1850 level.
It would not surprise me at all for this pair to be somewhere in the middle of the symmetrical triangle by the time we finished the session reaction to the jobs number. I believe that ultimately this is a market that continues to be noisy overall, but I think that the quiet month of August coming into the frame will also slow things down. I do believe that the 1.15 level underneath is massive support, so I would be surprised to break down below there. We could stay within the 1.15 to 1.1850 consolidation range for the next several weeks. If that’s the case, we will break through the symmetrical triangle and dissolve it.
EURUSD analysis Video 03.08.18
This article was originally posted on FX Empire