Euro Forecast to Stay Below Key Price Resistance Levels
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EURUSD – Retail FX traders have most recently sold into Euro/US Dollar strength as it trades near important range highs. Typically we would treat this as a contrarian signal in favor of EUR/USD gains, but indecisive US Dollar price action suggests that ‘the crowd’ may continue to do well in selling at resistance and buying at support.
Past performance is not indicative of future results, but our studies suggest retail traders on aggregate tend to outperform in slow-moving market conditions. Thus an aggressive shift towards selling actually suggests that the Euro may indeed hold below key price resistance levels.
See next currency section: GBPUSD - British Pound Outlook Calls for Further Declines
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.