EUR/USD Forecast July 28, 2017, Technical Analysis

EUR/USD daily chart, July 28, 2017

The EUR/USD pair continue to rally a bit during the day on Thursday, but gave back a significant amount of the gains that we had on Wednesday. In fact, we are below the 1.17 level as I write this, which is a reasonably weak signal. However, I think there is a certain amount of support near the 1.16 level, so I think sooner rather than later the buyers will return. Longer-term charts dictate that we should probably go looking towards the 1.1850 level above, which has been resistive in the past. The selloff has been rather brutal, so it will be interesting to see what happens next. I suspect that you are probably going to be better served sitting on the sidelines and waiting to see an impulsive candle to start following. After all, we are in real jeopardy of wiping out all the gains from Wednesday. That would be a very bad sign.

On the sidelines

At this point, I think it’s probably best to be on the sidelines, as we continue to see volatility pick up. There are easier trends to follow out there, and even though this is certainly in an uptrend, the fact that we have given back so much of it and in such a quick manner has me a bit cautious. I have course will let you know what I’m going in the future so stay tuned here at FX Empire.

Written by FX Empire