Currency pair Euro/Dollar EUR/USD continues to move within the framework of strong growth and the formation of a downward pattern “Wolfe Wave”. Moving averages indicate a short-term bullish trend for the pair. Prices went up from the area between the signal lines, which indicates pressure from buyers of the European currency and a potential continuation of growth from the current levels. At the time of the publication of the forecast, the Euro/US Dollar rate is 1.1963. As you can see, after a strong fear, the bulls were able to seize the initiative. As part of the Forex forecast for December 1, 2020, we should expect an attempt at a bullish correction and a test of the resistance level near the 1.1995 area. Further, the rebound and the continuation of the fall of the Euro/Dollar currency pair. The potential target of such a movement on FOREX is the area below the level of 1.1615.
EUR/USD Forecast Euro Dollar December 1, 2020
An additional signal in favor of falling EUR/USD quotes will be a test of the trend line on the relative strength index (RSI). The second signal will be a rebound from the upper border of the bearish “Wolfe Wave” pattern. Cancellation of the option of falling quotations of the Euro/Dollar currency pair will be a strong growth and a breakdown of the level of 1.2095. This will indicate a breakdown of the resistance area and a continued rise to the area at 1.2315. It is worth waiting for confirmation of a fall in the EUR/USD currency pair with the breakdown of the support area and closing prices below 1.1835, which will indicate a breakdown of the lower boundary of the “Wolfe Wave” model.
Among the important news from Europe and the United States that may have an impact on the EUR/USD pair, it is worth highlighting: ISM United States Manufacturing Purchasing Managers Index (PMI), Statement by the Chairman of the Federal Reserve System Federal Reserve System (Fed) Chair Powell Testimony, European Central Bank (ECB) President Lagarde Speech.
EUR/USD Forecast Euro Dollar December 1, 2020 assumes the development of a correction and a test of the resistance area near the level of 1.1995. Where can we expect a rebound and an attempt to continue the pair’s fall to the area below the level of 1.1615. A test of the trend line on the relative strength index (RSI) will be in favor of reducing the currency pair. Cancellation of the EUR/USD pair fall option will be a strong growth in quotations and a breakdown of the level of 1.2095. This will indicate a breakdown of the resistance area and continued growth of the currency pair on Forex to the area above the level of 1.2315.
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