Euro Dollar forecast trend technical analysis until 22-05-2020


Euro Dollar forecast trend technical analysis

Euro Dollar forecast trend and analysis using W.D. Gann technique.

euro dollar forecast
Euro Dollar weekly 05.15.2020

Forex Euro Dollar short term

An important long-term time cycle coincides with the year 2020.

The effects of this new temporal Set Up were immediately evident in the first months of this year.

The low daily returns of Euro in the second half of 2019 had touched the minimum volatility score of the Euro Dollar history, which was around 3%.

In the first months of 2020, we have observed a volatility surge around 10-11%, in particular in the weekly signals indicated in the last reports of 6th and 13th March.

In that period the European currency has reached new angular resistances, in particular the 1X4 descending resistance with origins on 30-03-2018 and on 16-02-2018, in 1.1236 area.

However, we have observed a large retracement in the following week which has brought the exchanges back below 1.0770 level.

In the following weeks price fluctuations have gradually decreased with the formation of many inside candles.

There has been a large lateral phase in which the exchanges are alternated along the 1X4 descending  angular resistances (described in the photos by the lower violet vectors) and the 1X1 and 1X2 ascending dynamic support with origin from the weekly minimum of 20th March (described in the photos in red and yellow).

The next weekly  Set Up  is going to expire on 15-05-2020.

Now we can observe the next price-time targets and short term supports and resistances.

Euro Dollar trend: medium term

euro dollar forecast 2020
Euro dollar monthly 05.15.2020

We can observe better the new trend of Euro Dollar cross in a monthly period.

The 1X8 dynamic supports (blue colored) had pushed prices upwards coinciding with time signals expired last October.

The monthly Sets Up of February and March, in conjunction with the 1X2 Zero angle (yellow colored on the slide), has showed an important reaction to the corrective forces of the market.

The months of February, March and April has ended the dynamics with prices above this angle, although several times there has been an attempt to break it downwards. Volumes remain low, while Open Interest is at the top levels.

Therefore, the month of May remains a key month to understand if the single currency is ready for a new leap forward or if it will postpone recovery to the next summer time cycles. More details in the video just above.

Cyclical and technical analysis using Gann’s theory has been developed thanks to Top Trader©, Stock Market software.

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