Good day forex traders and readers.
Welcome to our weekly forecast of the EUR/USD. Are you making money trading forex? Do remember that forex is never about getting rich overnight.
In the previous EUR/USD forecast we noted that a bearish pressure was pushing the currency pair down. Should 1.34 fail, we might see 1.3350. Prudence was advised as we were observing risk aversion in the markets.
Looking at the EUR/USD weekly chart above we note that the currency pair is still on a bearish trend. A number of folks asked me why do I use the weekly currency chart as there is nothing to be seen. Well everyone the weekly is good to observe the medium to long term trend. Forex to me is never about quick wins because losing quick is a possibility too. It is when we understand the currency pair and move along with the flow that we make money 🙂
We observe that 1.3350 was tested. While the EUR/USD is now above 1.34 , pay close attention and monitor. The longer it remains above, the higher the possibility of a bullish return. Otherwise we may dip below 1.34 and target 1.32.
The risk aversion theme is probably still strong in the market. Equities are affected and gold is holding above $1300. In view of this, we are likely to see continued preference of safe haven assets. With the commencement of air strikes on Iraq, another conflict flashpoint has expanded.
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