This is an updated supply and demand technical analysis and forecast on EURUSD Forex Major. There is a clear bearish bias on EURUSD Forex cross pair with new lows printed on the monthly and weekly timeframes. Price has been ranging for weeks on EURUSD but after a few attacks to weak lower timeframe demand levels, demand imbalances in the lower timeframes have been eliminating leaving a bearish void to be filled on the way down to monthly demand around 1.0652 where longs will be possible again long term.
There is no reason to go long on EURUSD Forex cross pair, no matter which Forex trading strategy you are using, be it a technical Forex trading strategy or a fundamental trading strategy. No matter how positive or negative news releases and fundamentals are on the Euro or the US dollar, the prevailing long term trend and bias is bearish so try to focus on selling EURUSD no matter which Forex trading strategy you are using.
See below EURUSD Forex cross pair monthly timeframe and what we expect to happen in the forthcoming months
We don’t need fundamental analysis to make a trading decision as supply as demand traders. If you read a bit about EURUSD fundamental analysis and news releases, you will be able to read that EURUSD remains under pressure ahead of the FOMC event. You will read that the Forex cross pair has started the week on a mixed tone, although it manages well to keep business above recent lows in the 1.1100 neighbourhood despite the persistent buying interest surrounding the greenback. They also say that the recent dovish message at the ECB event has opened the door to the probable announcement of a package of accommodative measures at the September meeting, and is expected to keep the single currency under the microscope for the foreseeable future.
Do you think that you will be able to interpret the above message? Not even the best economist in the world will agree as to the measures ECB is talking about or what will the consequences for the EURUSD Forex cross air. Do you think you can outsmart those well known economists? We just cannot, so we’d better leave them alone with their fundamental analysis and focus on what price action and supply and demand is telling us to do and that is selling EURUSD Forex cross pair.
Well, we do not care about FOMC or NFP (non farm payment) news releases, we just know that EURUSD is bearish and new supply imbalances are being created on the way down to monthly demand imbalance. Only shorts are allowed. If you are a scalping Forex or trading Forex intraday then you might be a little bit more worried about such Forex events, your stop loss can be easily hit.
Disclaimer: Any Advice or information on this website is General Advice Only - It does not take into account your personal circumstances, please do not trade or invest based solely on this information. By viewing any material or using the information within this site you agree that this is general education material and you will not hold any person or entity responsible for loss or damages resulting from the content or general advice provided here by Set and Forget, its employees, or fellow members. Futures, options, and spot currency and stocks trading have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the Forex and futures markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to Buy/Sell spot Forex, cfd's, stocks or other financial products. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in any material on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.
High Risk Warning: Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in Forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors. Please do not trade with borrowed money or money you cannot afford to lose. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. We will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results.