Good day everyone.
Thanks for reading our weekly EUR/USD forecast. I hope you had a great time trading.
In the previous EUR/USD forecast we noted that the currency pair tested the 1.14 resistance again. It did not manage to breach the resistance but it closed the week higher than the previous week. The EUR/USD was showing bullish indications but remained capped by 1.14. Should any bearish correction happen, the middle bollinger band might function as an immediate support at 1.12. An extended bearish target would likely be 1.1.
Looking at the EUR/USD weekly chart above we note that the currency pair was bearish for the week. It failed to breach the strong resistance of 1.14.
The immediate support of 1.12 did not hold and the currency pair went on to approach the 1.11 extended bearish target.
Should the 1.11 support fail, we may be looking at an extended bearish target of 1.08. Bullish recovery will probably need to test the immediate support turned resistance of 1.12 followed by 1.14.
As the Greek crisis nears the deadline of 30 June, the apprehension in the markets is likely to be greater. Just earlier it was reported that the euro zone ministers have rejected Greece’s request to extend the deadline. The speculation now is of a possible exit from the euro zone. ( Grexit ).
The uncertainty level is high and hence I will not be taking a trade for now until we have more indications with regards to Greece.