The EUR/USD has Done an About-Face: Watch these Levels

The Euro has had an interesting week from a trading point of view. And it hasn’t been a particularly easy trade this week in my opinion. The FOMC and it’s meek outlook caused a fall in the USD, which spiked the EUR/USD. Then an equally uneventful ECB caused it to drop back down.

I’m looking at this one from a longer-term perspective and I think that we might just see some more downside to come in the EUR/USD.

There’s every chance we get some traction on the US tax cuts over the next few weeks and that will spur the USD. Otherwise, we are going to be heading into a relatively quiet period.

I’m looking to sell bounces as they occur. I think the technicals will be more important than ever as we see newsflow and volume decline into the final weeks of the year.

Key Support and Resistance Levels