Good day forex traders and readers.
It is almost mid week and I hope you made some green pips so far. Even if not, no worries! Forex trading is all about being slow and steady.
In the previous EUR/USD forecast we noted that the currency pair was testing the immediate resistance of 1.368. From a fundamental point of view, the US Non-Farm Payroll disappointment probably inflicted much negativity to the sentiments.
Looking at the EUR/USD daily chart above we note that the currency pair remained in a tight trading range. It continues to be capped for now by the resistance of 1.368.
As mentioned previously, if the bullish pressure manages to breach the resistance, the extended bullish target will probably be 1.38.
Should the bearish momentum increase in pressure, we can expect possible immediate support at 1.36 followed by 1.35 – 1.352 .
Among the various economic releases flowing in throughout the week, we noted that the US retail sales came in better than expected. This probably helped to ensure some stability in the currency pair.
Continue to observe the price action as the market digest the US Non-Farm Payroll fall out.
Trade safely and do not rush into a position if unsure.